Over 5 million borrows have know idea about how much they are paying for their mortgage
New research from Habito has found over 5 million or the 7.6 million mortgage borrows have no idea how much they are paying for their mortgages.
1.8 million did not know if they were on a repayment mortgage or interest only mortgage.
1.4 million borrowers did not know if they were on a fixed or variable deal.
1.3 million borrowers did not know how long their mortgage had to run.
0.7 million borrowers did not know who their lender was.
Daniel Hegarty, chief executive and founder of habito, said: “For most people, a mortgage is the biggest financial commitment of their lives, yet the application process is opaque, slow and untouched by technology.
“It’s no wonder there is such a widespread lack of awareness among existing mortgage holders and such reluctance to manage their mortgages over the long-term.
“Applying for a mortgage with a traditional broker is stressful and confusing – people just want it to be over as quickly as possible and then forget about it.
“It is time mortgages were brought into the 21st century. Technology has transformed and simplified other aspects of our lives beyond recognition, yet the mortgage application process is no different from 30 years ago.
“The industry has resisted change for decades and has been reluctant to put the customer at the heart of the process.
“Habito is here to change that. We’ve created a way to make the mortgage application process simple and transparent.
“We analyse every mortgage from over 100 lenders in seconds and find the best one for each customer. It is a simple, honest and transparent way to find and apply for the right mortgage.”