Mortgage Rates News - Can i change from an interest only mortgage to a capital and interest mortgage?

Can i change from an interest only mortgage to a capital and interest mortgage?

I am 6 years into an interest only mortgage and want to change to a capital and interest mortgage. How do i go about this andhow do i get the money i have already paid into my endowment policy?

Public Comments

I'm not sure about the endowment policy but I'm pretty sure you can renegotiate your loan with the bank (or whoever) to be capital and interest. Best chat to them about it.
If you want to change it into a interest and principal loan, just increase your payment. Any additional money you pay goes directly to principal.
If you want to totally restructure the loan so that you're required to pay principal and interest you will have to refinance. They will give you new loan docs etc and there will probably be some fees associated with the refi. Otherwise, if you don't care about the required stated payment, David M. (above) is correct - just start paying more each month and your principal will be reduced. This will save you the cost of refinancing.
http://en.wikipedia.org/wiki/Endowment_mortgage