With the news of lending tightening in the last few weeks, homeowners are going to find it harder to obtain remortgage. This should not deter a homeowner from taking advantage of the low rate products available. A remortgage can be smart for trying to obtain a lower interest rate, obtain cash for debt pay off, pay for home repairs, to invest in another property or to fund education costs.

1. Check your credit record. It is important to make sure that reporting agencies have not listed any errors on your record. Even putting a date wrong on a paid off loan needs to be corrected. Go over the report carefully and then correct the information through all credit agencies. Once you obtain a credit report you will be given information on how to correct errors.

2. Fix your financial situation as best you can. If possible save for just another month or so. Paying off small level debts would help to improve your credit history. Catching up on late payments or negotiating with a creditor to achieve a lower interest rate are all things that can be done to help you improve your overall credit standing. The more you can pay off and remove from your responsible debt total the better.

3. Do your homework. Educate yourself on the remortgage lingo, the types of remortgage loans available and the pros and cons of each in relation to your situation and goals. Contact a broker or lender and ask questions and get free counseling. Take notes and do your homework on the information you gather. Go into the meeting to obtain your remortgage with newly gained knowledge and a clear understanding of what you hope the remortgage will do for you.

4. Gather all of the necessary pay and tax records needed. By calling a lender or broker you can find out specifically what will be needed according to your situation and the type of remortgage you are seeking.

5. Once you obtain a remortgage have a clear understanding and goal in mind for the future. Keep your payment history positive, keep lowering your debt, keep a watch over your credit history for errors, and know when another remortgage might be beneficial for your financial health.