Nationwide rate cuts tomorrow + no fees

luckyfool

manikm wrote: »

if there are NO FEEs on the product - does this affect any payment to a broker if you were to go for one of these deals using a mortgage broker?

does he\she get anything from Nationwide - or is this only open to people not going through a broker?

cheers!

manikm - you can't get the deal without the £599 fee unless you are an existing Nationwide mortgage customer switching deals, or unless you go for a fee free product at a higher rate.

Unless you want to go for a 3 year tracker or fixed (which are only available direct with Nationwide), then the deals through brokers are identical.

luckyfool

lizzie_dripping wrote: »

Thank you for this - I have been holding off product switching with Nationwide (my .13 below BOE expires at the end of September) but no arrangement fee makes a difference.

Just got decide between the tracker and fixed now.

If you think the fixed rates may continue to fall then you could go for the tracker, and benefit from the drop-lock facility later. i.e. Nationwide allow you to switch to a fixed rate at any time, even when you are tied in.

luckyfool

shell1000 wrote: »

what can you do if you signed the forms on tuesday for a 6.23% that they are now doing for 5.98??? im really annoyed, you just cant win at the moment and that 30 quid a month makes all the difference to me.

Theres my lesson for going with alliance and leicester and paying for a two year fixed rate that was actually a 1 year 10 months and realising i only had a month to get a new mortgage when i thought i had three..

any help gratefully received.

Is it a remortgage? Call them up and ask to switch products, if they refuse tell them to cancel the application. Then reapply.

Bottom line is that fixed rates are getting cheaper across the board and you should be able to take advantage of similar reduced rates from other lenders who have made cuts such as RBS/C&G/Woolwich/Abbey etc.

marco_79

Hi,

I was the OP on this thread. Looks like the girl I spoke to yesterday hadn't got all her facts straight about what deals were being cut however. What I did may help some people coming to the end of a Nationwide deal.

I had signed the papers for the 5yr no fee 6.45% deal, when the rates fell to 6.18% I wasn't too happy. I phoned them and said I wanted to switched. They said I had to send in a letter signed saying I wished to cancel the deal. As it hadn't started and there was no fee there was no penalty in doing this.

I phoned them up to get the 6.18% deal and was told the rate was falling to 5.98% today.

I have reserved the funds at that rate, heres the bit that I think is clever. My current deal doesn't end till Oct 1st. I have these funds reserved for 3 MONTHS. I need to sign these papers within 7 days of my current deal ending. However by holding on to the papers till 7 days before should rates fall all I got to do is phone up and request the new rate. Should the rate go up in this time I still have the money reserved for 3 months so can revert to the agreed deal. Win Win situation really.

Hope this helps some people, I'm sorry to those who can't benefit from this.

Marco

AMILLIONDOLLARS

I just got off the phone to them minutes ago, I have reserved this deal for the 1st October, because getting the papers back in time for the 1st September would have been tight! At least it will give me time to see whether the rate will drop again:D , if not, I will tie myself for 3 years at 5.98% which is far better than the 6.49% I was on!!!

AMD

Thanks Marco_79!!!!

shell1000

luckyfool,

yes mine is a remortgage moving from alliance and leicester to nationwide, ive already had the survey done yesterday and signed the forms for the 6.23 on wednesday. called them first thing this morning and they said they would call me back and still nothing.

Not sure i could cancel and reapply without incurring fees, but will ask if i can switch.

what i really want to speak to them about is the loan to value, as if i have less than 25% equity in the house (i dont know this for sure yet, but the surveyor didnt seem very postive) then i may have to go for the 6.39 which is for 90 ltv.

Its madness, i get told i am a simple and good case, no other debt, good credit history, good salary and equity in the house... still doesn't seem to be enough..

luckyfool

shell1000 wrote: »

luckyfool,

yes mine is a remortgage moving from alliance and leicester to nationwide, ive already had the survey done yesterday and signed the forms for the 6.23 on wednesday. called them first thing this morning and they said they would call me back and still nothing.

Not sure i could cancel and reapply without incurring fees, but will ask if i can switch.

what i really want to speak to them about is the loan to value, as if i have less than 25% equity in the house (i dont know this for sure yet, but the surveyor didnt seem very postive) then i may have to go for the 6.39 which is for 90 ltv.

Its madness, i get told i am a simple and good case, no other debt, good credit history, good salary and equity in the house... still doesn't seem to be enough..

Shell1000,

It's a remortgage, so you haven't paid any fees up front (I hope!) so at the end of the day you are in a strong position. I would push for your application to be switched over to the new rates to ensure that regardless of the valuation, you get the best rate possible.

shell1000

just for everyone to know incase they are not sure about there loan to value, mine was calculated after nationwide did a survey as 76.67 and the best offer they could do me was 6.38 and i would have to pay the arrangement fee upfront.. they wont budge on the ltv even though first direct are doing a 3 year fixed at 5.95 for 80 ltv... so if you are not sure its prob worth considering this.

Im just annoyed i wasted two critical weeks with nationwide when i could have been sorting a mortgage with someone else.

I honestly think this loan to value situation is more of an issue than rates..

declanmcc

I started my remortgage application at the start of July (current mortgage rate expires on 1st Oct). I decided to apply for the 6.45% 5 year fixed rate offered at that time by Nationwide. 2 weeks later, on the day I received the mortgage offer, I noticed that they'd brought the 5 year fixed rate down to 6.18%. I asked my broker to get me switched over to this rate, this could be done without a problem, however Nationwide wanted to charge me the £599 fee for this new rate .. AND .. charge the £599 fee for the rate I intially applied for. Now this 5 year fixed rate is at 5.98%. I've chatted to the Nationwide mortgage advisor at my local branch and he said this is in their rules and has said I will be able to switch to the 5.98% rate as long as I stump up the extra £599 for the rate I initially applied for.

Any advice as to what to do here? The mortgage offer is there subject to me forking out an additional £599. Should I cancel and apply again?

shell1000

im not an expert on this one by any means but my understanding from nationwide was that you could switch and you wouldnt be charged twice, the difference is that if you had asked for the arrangement fee to be added to the loan originally that you couldnt do that for the switch you had to pay the fee upfront. i asked them that again today myself.. double check if i were you