Almost a third of
mortgage borrowers are effectively turning down a ten per cent pay increase when they stick to the standard variable
mortgage rate offered by their mortgage lender.
Mortgage lender John Charcol says up to 30 per cent of mortgage borrowers in the UK could save as much as £2,400 every year if they
remortgage their properties.
However, mortgage holders are still not taking advantage of this
money saving possibility.
Drew Wotherspoon at John Charcol says even though homeowners are increasingly opting to remortgage their properties, "there is still some way to go".
"No matter how many times some consumers read about the savings they could make, they will still sit on their hands and do nothing," he commented, and added that people would not want to turn down a ten per cent pay rise.
Mr Wotherspoon said many people have a misconception that it is a hassle to remortgage and that it is a time-consuming effort. However, he claims the process is "relatively painless" for most mortgage holders and that it should not take more than two hours.
Those opting for
online remortgage applications can expect to save even more time with some mortgage lenders.
"It really is a no-brainer," Mr Wotherspoon said.
