Video transcriptHomeowners may ultimately look to resort to loans for consumers who are seeing increased debt levels including to their utility companies, as new figures show that the energy crisis is growing.
Research by uSwitch shows that almost four million households owe a total £464 million to their power suppliers alone, with the average energy bill now sitting at £1,265 a year, almost £800 more than the level it was at in 2004.
Price hikes in the winter have seen the average home debt grow to £128 and it`s just fortunate that we had a mild winter, otherwise that could be far worse, indebted people may have tried to use less energy, which could have severe health implications, particularly for the elderly and infirm.
There are cheaper tariffs available, but Ann Robinson from the comparison site explains that `many see debt as a barrier to switching`, which can be a major disadvantage seeing as though the difference between the cheapest and most expensive deals can be around £300.
If you have multiple credit debts and are finding it harder to meet your everyday bills because of cash flow then if you are a homeowner with equity you could apply for a homeowner secured loan, which would provide you with a route to pay off unsecured bills using a new loan spread over a longer term to improve your cash flow. Please note you will likely pay more interest over the term and the loans are secured, so carry the same risks as a mortgage.
Our underwriters will identify the most suitable homeowner loan for you from our panel and provide you with a free quote, facts and figures, so you can decide if this will help you.
To get a homeowner secured loan quote without obligation or pressure, then visit firstchoicefinance.co.uk or call on 0333 003 1505, mobile friendly or 0800 298 3000, free from a BT landline.
Lower your monthly payments by consolidating credit card debts and other creditors with a debt consolidation loan or mortgage.
Mortgage Refinancing - Refinance your home loan by consolidating your credit loans and other debt. Or, potentially lower the mortgage rate on your home loan to today`s current mortgage interest rates.
What Is Debt Consolidation?This is the practice of consolidating multiple bills, typically unsecured debts, but not always, and payments into a single payment, usually through some form of debt consolidation loan, home equity or mortgage refinance, or personal loan program.
Using Loans for Debt ConsolidationIn the form of a loan consolidation, this generally results in a longer repayment term and thus a lower required monthly payment. Please Note: You will usually pay back more in interest over the term of the new loan. Offered interest rates for consolidation loans can vary based upon a number of factors, including your credit history. Also important is if the type of debt being changed by the consolidation. For example, unsecured debt (i.e. credit cards and most personal loans) being consolidated into secured debt, such as home equity would generally, but not always, result in a reduction in interest rate. When consolidations include a mortgage loan, they are frequently included in the refinancing of a first charge mortgage or the establishment of a second mortgage or home equity loan to allow a consumer, to take advantage of the available equity in their home. Even though you may not actually receive any of the loan proceeds, commonly referred to as a product switch loan, because you are paying off debt in addition to the principal balance of your existing mortgage.
Unsecured Personal Loans
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