01932344657 enquiries@eurofinancemortgages.com

The repayment of capital

There are many ways to actually repay the capital you borrow.

You can pay some of it back each month, slowly reducing the amount you owe (a repayment mortgage), or set the money aside in an investment such as an ISA, which can be used to repay the capital at the end of the term (an interest-only mortgage).

The amount you have to save, or the rate at which you repay the debt, depends on the term of the mortgage and, (if you are using an investment) the growth rates actually achieved.

The repayment route is the safest as you can be sure that the mortgage will be paid off at the end of the term, provided all payments have been made in full and on time.

Alternatively, with the interest-only route, an investment may be used to generate a fund with the aim of paying off the mortgage and generating a surplus. However, if growth is lower than expected there may be a shortfall. The investment route cannot normally offer a guarantee of debt clearance, as the value of the investment can go down as well as up and you may not get back the full amount invested.

We have created a range of useful calculators to help you explore the options open to you.

Your property may be repossessed if you do not keep up repayments on your mortgage.

For details of our fees for mortgage business please see our page "How we are Paid".

Explore our free mortgage related guides and calculators

Eurofinance Mortgage Solutions is a trading style of Andrew Jefferson and Karen Jefferson. Eurofinance Mortgage Solutions is an appointed representative of Sesame Limited which is authorised and regulated by the Financial Conduct Authority. The FCA does not regulate solicitors. Financial Services Register No: 150427 http://www.fca.org.uk/register.

On clicking the above links you will leave the regulated site of Eurofinance Mortgage Solutions. Neither Eurofinance Mortgage Solutions, nor Sesame Ltd, is responsible for the accuracy of the information contained within the linked site.

We act as introducer for REITS, Endowments, Equity release, National Savings, tax planning, taxation and trust advice, offshore investments or school fees planning. For investments, we act as introducers only.

The Financial Conduct Authority does not regulate National Savings, trust advice, offshore investments, school fees planning and some forms of buy to let mortgages and tax planning.

The Financial Ombudsman Service (FOS) is an agency for arbitrating on unresolved complaints between regulated firms and their clients. Full details of the FOS can be found on its website at http://www.financial-ombudsman.org.uk.

The information contained within this site is subject to the UK regulatory regime and is therefore targeted primarily at consumers based in the UK.

Please read our Privacy Statement before completing any enquiry form or before sending an email to us.