Interest only

Interest only lending when it expires, can you afford the 40 to 50% increase in your monthly repayment? So banks love to put people in principal and interest lending. The regulator wants everyone into principal and interest lending. But there are still common ways why people would go into interest only loans. If you have your owner occupied loan and an investment property, you can maximise your deductions while paying down your principal place of residence. Back in about 2014 interest only lending was a little bit easier to get than it is today when the regulator changed things. Now if you go for a 30 year loan with a 5 year interest only, you have 25 years that the calculator will be used for. It used to be that it could be different but when you go to extended again which people may do in 2019 because I said 2014 five years later it's a common common term for interest only they will be able. You may need to put in your income verification and everything again and if you can't afford it you may be forced into paying principal and interest. The best way to deal with this is to be prepared understand when your interest only period expires. Now instead of going into next year and figuring out that your bank account's been direct debited a lot more money than you thought was going to come out from your budget. Alright? Hey it's Aaron. If you know your interest only period expiry, put your comment below. If you want any more information around this, put your comment below. Give me a thumbs up and a like and I'll talk to you soon. Thanks bye.