Collar on HSBC tracker mortgage

jomc25

Back in May I got an HSBC tracker mortgage at 0.48 above the base rate. It now seems like that might have been a very good decision. However, my friend has go me worrying about whether there might be a collar on this deal so that it won't go below a certain rate. I can't find anything on the website or in the terms and conditions but I don't know for sure. Does anyone know whether HSBC put a collar on their trackers?
Thanks
Jo

milliemonster

I think most trackers have a collar, mine isn't with HSBC but has a collar of an interest rate of 3.89% (my tracker is 0.89% above BoE base rate), ask HSBC to send you a copy of your mortgage agreement and it will tell you on there, or you could just ring them up on Monday and ask them?

Sun

Interesting...I have also 0.48 HSBC lifetime tracker and not aware of collar on this deal, I'd be in interest to know about your findings.....

maveli

I too have this at 0.23 above. I checked the documents and I couldn't find any collar

michaels

I have an HSBC discount which they assured me had no collar - pretty redundant as they are not cutting the svr tho

maveli

I just called them at 0800 169 6333 and according to them there is no collar on tracker.

mitchec1

The OP's friend might have been reading the times

http://www.timesonline.co.uk/tol/money/property_and_mortgages/article4965372.ece


about half way down from HSBC

HSBC does not have a lower threshold on its deals, but includes a caveat in its terms and conditions allowing it to not pass on rate cuts if there is a “significant” change in the mortgage market. However, a spokesman said that it was “committed to upholding the agreement with our customers”.

JP78_2

I got a HSBC tracker at +0.38% base rate back in May. I'm now very happy!:j

feisty1

JOM25 quote: can't find anything on the website or in the terms and conditions but I don't know for sure. Does anyone know whether HSBC put a collar on their trackers? quote

Pls read yr KFI & offer of loan, you will find more accurate info there regarding the mortgage specific to you rather than requesting generic information, which may confuse you further

Peelerfart

JP78 wrote: »

I got a HSBC tracker at +0.38% base rate back in May. I'm now very happy!:j

Yup me too - same deal. Not paying any less though,all rate cuts go to overpay.

I can't find anything that indicates that there's a collar on the tracker,but if there is I'm sure they'll let us know.

Got to get to that stage first though !

Sun

HSBC does not have a lower threshold on its deals, but includes a caveat in its terms and conditions allowing it to not pass on rate cuts if there is a “significant” change in the mortgage market. However, a spokesman said that it was “committed to upholding the agreement with our customers”.

Source: http://www.timesonline.co.uk/tol/money/property_and_mortgages/article4965372.ece