- 23
- Apr
Britons could find themselves developing debt management problems as a study indicates that some six per cent of mortgage holders do not know the interest rate payable on their borrowing.
Louise Cumings, head of mortgages at moneysupermarket.com, claimed that the figure reveals Britons lack "universal awareness" in terms of regularly reviewing financial products.
She said: "A regular health check on a mortgage product is especially crucial as it is frequently the highest single monthly household expenditure."
The study also revealed that 27 per cent of borrowers have chosen a two-to-five year fixed-rate mortgage to protect the costs of their secured Loans due to predicted increases to interest rates and rising house prices.
However, about one in five Britons were reported to be over-paying due to remaining on a standard variable rate product and as a result could develop debt management difficulties on their secured loan payments.
Last week, property buyers were advised to take the full costs of moving home into account as a Yorkshire Bank study reveals that 44 per cent do not consider legal expenses and stamp duty fees, which in turn could impact upon their homeowner loan payments.
Interfinancial providing you with breaking Secured Loans news.
