23 Austin Friars, London, EC2N 2QP
+44 203 750 0001
info@austinfriars.city
Repayment Types
Capital and Interest Mortgage (Repayment Mortgage)
This is one of the easiest to understand as well as most secure ways of repaying your mortgage debt. With each monthly repayment you pay off a proportion of the underlying debt as well as interest on the loan. At the end of the mortgage term the debt is cleared.
Most mortgage lenders will allow over payments on the loan up to a specific limit, usually around the 10% per year mark. Please make sure that your mortgage professional explains if your loan is on a daily, monthly or annual calculated interest rest. If you have a daily rest mortgage and make an over payment, then your over payment amount will come straight of the capital amount. On the other hand, if your loan is calculated on an annual rest, then an over payment will not take immediate effect. It is very important to understand your mortgage and to make sure that the loan suits your personal situation.
How the interest is calculated has a bearing on your loan so please make sure that you ask your mortgage professional about this.
A mortgage is a loan secured against your home. Your home may be repossessed if you do not keep up repayments on your mortgage or any other debt secured on it.
This is one of the easiest to understand as well as most secure ways of repaying your mortgage debt. With each monthly repayment you pay off a proportion of the underlying debt as well as interest on the loan. At the end of the mortgage term the debt is cleared.
Most mortgage lenders will allow over payments on the loan up to a specific limit, usually around the 10% per year mark. Please make sure that your mortgage professional explains if your loan is on a daily, monthly or annual calculated interest rest. If you have a daily rest mortgage and make an over payment, then your over payment amount will come straight of the capital amount. On the other hand, if your loan is calculated on an annual rest, then an over payment will not take immediate effect. It is very important to understand your mortgage and to make sure that the loan suits your personal situation.
How the interest is calculated has a bearing on your loan so please make sure that you ask your mortgage professional about this.
A mortgage is a loan secured against your home. Your home may be repossessed if you do not keep up repayments on your mortgage or any other debt secured on it.