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Original poster

will i be able to remortgage my house for school fees

32 replies

asdmumandteacher · 14/11/2008 14:26

This is my plan as DS1(9) will prob not get 11plus. We are both teachers. Have about £100k equity (is that right word??) in the house. No debts/loans/credit cards. Good financial rating i would imagine. Can we say that we are going to remortgage for this?

OP posts:
LIZS · 14/11/2008 20:15

You can increase the amount if you remortgage for whatever purpose, it doesn't have to be specified. However how much you might be able to get depends on current valuation, loan to value, earnings, credit rating etc as they would evaluate the risk against the potential value of the asset, probably quite cautiously atm.

Original poster
asdmumandteacher · 14/11/2008 20:11

thanks all. Am a bit scared to ask our mortgage provider in case they say no and we have our dream shattered. Must pluck up courage - also bit worried to do it now cos of the ol' financial climate an' all.

OP posts:
Grumpalina · 14/11/2008 18:47

Sorry wish I'd previewed this.

Corrections as follows:

savings facility

pay school fees termly not monthly

Also you can pay off what you've borrowed at anytime.

Grumpalina · 14/11/2008 18:19

Don't know if this will help but it may be worth talking to a financial advisor who speicalises in raising fees for private school.

I have a drop down loan ( I think that is what it's called). Basically it's a facility I can specifically use to pay school fees and if I use it I only pay the interest for the term of the loan (20 years in my case). The limit in my case is set at £20000. You have to take out a savings with it to ensure that you can pay off the balance at the end of the term (the one I have is £75 per month to garauntee (sp?) a lump sum of £20000 at the end of the 20 years. If you don't use the loan facility or only part of it the lump sum is yours to do with as you wish.

I pay a fixed amount of my salary into a savings account and apy the school fees monthly. I just have the laon facility as a back up if something unexpected comes up. Hope I've explained myself properly.

isgrassgreener · 14/11/2008 17:51

We did but, did not tell them what the additional money was for, we were doing quite a lot of building work at the time, so took a lump sum and used some of it on school fees.

xserialshopper · 14/11/2008 14:39

Hi. The normal high street banks/bs wont let you remortgage for school fees as far as I'm aware.

Why don't you ring them and ask?

Original poster
asdmumandteacher · 14/11/2008 14:26

Would want to remortgage about £50k

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