Cash Back Remortgages
Cash Back Remortgages provide the remortgage applicant with an initial sum of money. This cash back can be used for what ever the applicant wishes:
- Stamp duty
- Buying furniture
- Removal Costs
- Home improvements
What is a Cash Back Remortgage
With a cash back remortgage the customer is entitled to receive a lump sum as well as the fixed remortgage amount.
The amount that can be availed in cash back remortgage differs from lender to lender.
This type of remortgage is typically available within the lenders Standard Variable Rate (SVR) product.
Advantages of a Cash-Back Remortgage
- It obviously raises a level of capital for the purchaser - the capital can be used for any purpose they wish
Disadvantages of a Cash Back Remortgage
-
Cash back remortgages often has a tie in period for a number of years, where the cash back must be repaid in part or in full
-
Cash back remortgage applicants may have to pay the lenders Standard Variable Rate for a specified period of time
-
Early repayment charges are typically applicable to the cash back remortgages