Nationwide remortgage dilema

jennynoo

Hello, Just looking for any advice.

My nationwide mortgage comes to an end at the end of November and I want to remortgage with them on their no fees 5.68% rate. However I also wanted to put a lump sum on the mortgage - around £3,500 but they wont let me do this unless I go on the base rate for a month. I decided to do this but then they told me that I would have to wait until the end of next week to reserve a rate for the start of January - at which time the rate may no longer be available. So now I'm not sure what to do.

Any advice?

minimike2

Youcould get the new deal then overpay by £500 a month for 7 months.

Baz_2

It depends how desperate you are for the £3500 in relation to how desperate you are to keep the rate.

It will be gone by next week IMO if not within a few days.

Can you not take out a personal loan for the £3500? I assume you want to increase your mortgage by £3500 not reduce it?

nesssie1702

I'd go with Mike2's suggestion of taking the rate that you've been offered and then overpay - as that option should be built into your account.

Going onto Base Rate for a month to overpay is likely to cost you more than taking the no fees rate now (before it goes up, as others have done today!)

KingDave_2

I am in a similar situation - my 4.65% 2yr fix with Nationwide ends at the end of November. I plan to move to their 3yr Tracker +0.64% no fee for which I have an offer. If they announce better products in time - I'm told I can ask for another offer to be generated (the current loyalty switch fee waiver offer makes this feasible).

Next stage in the plan is to use Nationwide's switch and fix facility to hop on to a low fixed rate at no fee when the interest rates come down massively next year (optimistic side speaking).

Anyway - I was told by Nationwide that if I want to partially repay prior to the switch I can pay off as much as want without penalty in the final month of the old product.

You should definitely call them and check this. Unfortunately I don't have a spare cash lump sum to throw at it this time - but we do make a £500 overpayment everymonth.

Cheers,

Dave

jennynoo

Thanks for all your replies. I'm actually trying to reducing my mortgage as quickly as I can! It's interesting what Dave says about repaying in the final month - will have to check with them about that as I have already been paying £500 extra per month (maximum allowed).

Toughluck

That is THE only downside to Nationwide, their crap overpayment facilty. BDM's have told me they will never ever change this practice.

thejoose

If you are keen on overpaying you might want to look at some of the fixed rates at Northern Rock as they have unlimited overpayment facilities. Their rates are competitive alongside Nationwide.

You will need to move quickly though as they are going to be withdrawing their rates over the next few days.

jennynoo

Oh well, decided just to go with the Nationwide one starting as soon as my current one finishes. You never know I might need the money soon - trying to get pregnant! - Might have to have a look on here and see how much I should be saving for that.