Learn How To Pay Back Your Pub Mortgage

By Author: Kirthy Shetty
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Unable to repay your pub mortgage? Are you thinking of a foreclosure? If you haven't heard of unenforceable credit agreement try to understand it now. If a lender has provided you loan with out proper documentation you stand a chance to take benefit of an unenforceable agreement. Meaning, you don't have to pay the balance dues on your pub to the lender. He can't claim any dues from you as the agreement gets cancelled if it is proved unenforceable. It may sound too good to be true, but this came into practice with the application of the Consumer Credit Act 1974.

Extension of debt: You can opt for loan extension if you are finding it difficult to pay back. Request them for an extension in case there has been a recession. When the whole world is facing recession there is no possibility of repayment on time. You can request for a payment holiday or extension of a loan duration.

Refinance mortgage: If you bump into a lender who offers better loan rate and a flexible term, you can easily switch over to another mortgage. It can either be switching over with the same lender or choosing a different lender altogether.

Payment ...
... holiday: Postpone your loan payments for a while; you can pay back once you are financially fit by requesting for a payment holiday. This way you can attain some financial freedom for few months. There is no payment made and you can easily fulfil your other financial obligations.

Commercial loan modification: There can be renegotiations with your existing lender. You can convince your lender to have better loan repayment terms for you. He could possibly consider the current loan rate and a rise in your equity in order to offer you favourable rates. This way you can pay back your loans on time with relatively better financial terms.

You will need some supporting documentation before approving it for negotiations towards a commercial loan modification. After this, the negotiation process can begin between the owner and lender, with the end goal of a mutually beneficial loan modification that allows the borrower to keep the asset and prevent foreclosure.

Commercial mortgages used for other purpose:

Commercial mortgages can also be bought for buying office space with the intention of renting it, or a retail and residential development, including shops and flats projects. You need to consider interest rates as well as your long term ability to afford to keep up mortgage payments too - because you don't want to default, risk losing your home and ‘just' having your overseas property safe if you only want to vacation in it!

Kirthy Shetty, Expert Author. Information on Commercial mortgage quotes: Commercial Mortgage QuotesGet more information on: Fixed Rate Commercial Mortgage