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25 Jan 2022

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Refinance Mortgage

Refinance Mortgage Information

Refinance Mortgage or remortgage is when a borrower pays-off a previous mortgage with a new mortgage. The benefits of doing this are possibly lower mortgage interest rates, lowering of payments or taking out of cash out of their home equity.

Mortgage refinancing is mainly used to consolidate personal loans and credit card debt because a mortgage is often available at a lower interest rate than the interest rate paid on a personal loans or credit cards.


Benefits of a Refinance Mortgage

Refinance Mortgages allows a homeowner to lower their existing monthly mortgage payments by remortgaging to a new mortgage lender. They can also increase the term of their mortgage to reduce your monthly repayments. Mortgage refinance is also a good way to consolidate debts, you can consolidate your credit cards and personal loan debts into your mortgage (subject to the mortgage lenders limits on debt consolidation remortgages). This can save money in the short term though it is important to remember that by taking a refinancing mortgage and consolidation loans or credit cards you extending the total term you will be paying the debt and hence the total interest payable could be greater. Homeowners also can benefit from a lower refinancing rate to free up cash that can be used for any purpose. For further information on refinance mortgage schemes just look at our remortgages section or our remortgage guide

Debt Consolidation

Debt consolidation is not always the most suitable option, consolidating debts must be carefully considered. It will usually mean more interest over a longer repayment term and there may also be early repayment penalties on your current mortgage, you should think carefully before securing other debts against your home. There are other ways to manage debt such as free debt advice charities, you can find out more by contacting the Money Advice Service  these services may be more suitable for you.

Once you have taken a refinance mortgage to consolidate your debts you will then make one payment rather than several payments every month. As a result you could end up paying less money per month than you are currently committed to. This could be beneficial if money is tight for a period of time, and once you are back on your feet you could look to increase your mortgage payments to reduce your mortgage term and reduce the total of interest payable on your mortgage.

Prior to applying for a mortgage refinance loan

Prior to applying for a mortgage refinance loan, it is important check if your existing mortgage lender will charge a redemption penalty if you repay your existing mortgage. If you have mortgage redemption penalties a refinance mortgage may not be right for you, instead it may make more sense to take a secured loan. A secured loan without redemption penalties to refinance your debt can reduce your monthly payments at a slightly higher rate compare to a refinance mortgage. You could then take a refinance mortgage once your existing mortgage redemption period has expired. For further details on secured borrowing to compare to refinance mortgage please click on the link to secured loans   

Best Refinance Mortgage

To compare the best refinance mortgage deals simply click on the link to Go Directs best refinance mortgage tables. If you would prefer to search the market for the best refinance mortgage rate try our refinance mortgage calculator. Many mortgage lenders now offer existing mortgage customers secured loans to refinance, to compare the interest rate on offer with the best refinance mortgage try our refinance rate comparison to compare interest rates.

Bad Credit Refinance Mortgage

Contact us today using the simple refinance enquiry form and we will source the most appropriate and cheapest bad credit refinance mortgage provider for you. Refinance mortgage information and advice

We can help whatever the circumstances of your bad credit rating, including (but not limited to)refinance mortgages for :

  • Refinance mortgages for secured loan and rent arrears
  • Refinance mortgages for County Court Judgments (CCJ's)
  • Refinance mortgages for Defaults
  • Refinance mortgages for unlimited areas and adverse credit
  • Refinance mortgages for Individual Voluntary Arrangements (IVA)
  • Refinance mortgages for Discharged bankrupt
  • Refinance mortgages for Repossession
  • Refinance mortgages for Self-employed with no accounts

Go Direct Mortgage Quotes

If you have had credit problems with defaults, CCJ's, mortgage arrears or Bankruptcies/IVA, we would recommend you do not use our mortgage quote tool. Each lender will have their own criteria depending on many factors, please complete our enquiry form and  advisor will be able to look at your mortgage options for you.

Would you like Fee free Refinance Mortgage Advice

After looking through the information on refinance mortgage if you would like mortgage advice, complete our mortgage enquiry form and we will contact you to discuses your refinance mortgage requirements. We normally do not charge a fee for mortgage advice, however this is dependent on your circumstances. Our typical fee would be £500.


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Think carefully before securing other debts against your home, your home may be repossessed if you do not keep up repayments on your mortgage.

Go Direct.co.uk is a trading style for website purposes of Go Direct UK Ltd. Go Financial Services is a trading style of Go Direct UK Ltd which is an appointed representative of Personal Touch Financial Services Ltd which is authorised and regulated by the Financial Conduct Authority. Registered in England & Wales Company 5703224. FCA Number 456600

We normally do not charge a fee for mortgage advice, however this is dependent on your circumstances. Our typical fee would be £500