New year resolutions for mortgages

Britannic Money is urging brokers to help borrowers get their mortgage in shape for the new year.

The lender highlights five key checkpoints for a healthy mortgage. These are:

• Payment holidays – does the lender let their clients take payment holidays when needed?

• Daily interest – interest calculated this way could save a borrower thousands over the loan lifetime.

• Paying over – the ability to make overpayments can save thousands of pounds of interest. Overpaying on your mortgage could save you thousands of pounds in interest.

• Paying under – does the mortgage let borrowers pay less on months when cash is tight?

•Duration – by paying extra into a mortgage when they can afford to, borrowers can knock years off the term of their loan.

Rachel Ramsden, head of marketing at Britannic Money, says: “We all make resolutions that we often do not keep. If you do one thing this year then make sure that you review your mortgage and ensure that it is flexible enough to meet with your everyday and financial needs.”