Interest-only mortgage options
As the name suggests, an interest-only mortgage is one where your monthly payment only pays the interest charged on your mortgage - you're not actually reducing the mortgage debt itself.
Because you're only paying off the interest and not the mortgage itself, your monthly payments will be lower but it is essential that you arrange some other way to repay the loan at the end of the term; for example, through an investment or savings plan.
If you choose an interest-only mortgage you will need to check that your investment or savings plan grows accordingly, so that at the end of the term you'll have enough money to pay off the debt. If it doesn't grow as planned, you will have a shortfall and you'll need to think about ways of making this up.
If you would like to know more about Woolwich interest-only mortgages from Barclays, why not pop into your local branch and make an appointment to see one of our mortgage advisers. If you would like to know more about what investments you might use with an interest-only mortgage, you might like to contact an Independent Financial Adviser (IFA).
We have an interest-only Mortgage calculator that will enable you to look at monthly repayment illustrations for different sizes of mortgages. You will find our interest-only Mortgage calculator in our mortgage calculator section.
At Barclays we offer...
You can choose from a range of Woolwich Mortgages from Barclays that may meet your mortgage needs.
Your home may be repossessed if you do not keep up repayments on your mortgage
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