With consumers due to spend 813 each on Christmas this year, Charcol is advising people to remortgage to cover the cost.
Charcol has calculated that over 3 million borrowers could pay for this years festivities just by moving away from a lenders uncompetitive SVR.
These borrowers are potentially wasting a staggering combined total of over 235m a year.
Elliot Nathan, product development manager at Charcol, says: “With at least 28% of borrowers still paying a lenders SVR perhaps the added expense of Christmas will spur them into action.
“Hopefully the chance to have an effectively free Christmas and the realisation that so much money is being wasted each year, will mean that 2005 is the year when borrowers paying an SVR is dramatically reduced.”
To help borrowers review their situation and see whether remortgaging could save them money, Charcol is offering an obligation free remortgage check service.
The review takes into account any early repayment charges and other fees they might have to pay to make this switch and borrowers are in no way required to act upon the recommendations given.