Advantages and considerations of second charge mortgages

We’ve covered extensively recently the reasons why you should consider second charge mortgages. Now heavily regulated by the Financial Conduct Authority (FCA), buyers should consider second charge mortgages as an extremely viable proposition for your financing needs.

Despite it being called a “mortgage”, the uses for such finance are wide as they are varied. Whether you need a new car, building an extension for your property, capital for a business investment or sending children to University, a second charge is a loan secured against your property.

With more lenders coming on stream offering such finance, Hayes Finance can secure the most appropriate deal for you and your circumstances. Our preferential and established relationships with lenders is good news for you!

We’ve helpfully provided some advantages and considerations for a second charge mortgage, but also a quick look up for the best deals currently on the market. These arrangements change almost daily, so do call us on 020 3126 4898 to get the latest rates and discuss your options.


  • If your credit history isn’t brilliant, but you need to borrow some more money, for example to pay for a home extension because your family has grown, it can be the cheapest option.
  • If you’re self-employed and struggling to borrow from elsewhere, it can offer you a way to use your home as security to get a loan.
  • You can repay them over a long term, such as 25 years.
  • You may be able to overpay, although you should carefully check for any overpayment or early repayment penalties if you think this might be an option for you.


  • You have two lots of mortgage debt to repay.
  • If your credit rating isn’t good, you’re likely to pay a higher rate of interest (10%+) on the second charge mortgage than for an ordinary secured loan.
  • Most importantly, you could end up losing your home if you can’t keep up the repayments.

At Hayes Finance, you have access to a broker at the sharp end to get you the deal you need, specific for your purposes. To book a no obligation, free appointment call us today on 0203 126 4898 or email: