Features
Typical features include the facility:
- to make overpayments (more than the normal amount)
- to redraw (borrow back) any previous overpayments
- to underpay - less than the normal amount
- to take a payment holiday - stop repayments for a period, typically 3 to 12 months.
These features allow a flexible mortgage to be adaptable to individual circumstances. This is especially useful for self employed borrowers and those with a variable income. By way of example, borrowers whose income includes a significant but irregular commission component might make use of commission payments to make overpayments, thereby reducing the term or enabling them to underpay at other times.
Read more about this topic: Flexible Mortgage
Famous quotes containing the word features:
“All visible objects, man, are but as pasteboard masks. But in each event—in the living act, the undoubted deed—there, some unknown but still reasoning thing puts forth the mouldings of its features from behind the unreasoning mask. If man will strike, strike through the mask!”
—Herman Melville (1819–1891)
“It is a tribute to the peculiar horror of contemporary life that it makes the worst features of earlier times—the stupefaction of the masses, the obsessed and driven lives of the bourgeoisie—seem attractive by comparison.”
—Christopher Lasch (b. 1932)
“However much we may differ in the choice of the measures which should guide the administration of the government, there can be but little doubt in the minds of those who are really friendly to the republican features of our system that one of its most important securities consists in the separation of the legislative and executive powers at the same time that each is acknowledged to be supreme, in the will of the people constitutionally expressed.”
—Andrew Jackson (1767–1845)