Should I Stay or Should I go now?

ricochet777

My mortgage lender (Egg) was excellent, but seems to have gotten a bit lethargic following takeover from Citigroup.
A quick check of the website and I found they have withdrawn all of their EGG mortgage products.
Following the recent 1.5% rate cut i thought I would wait and see what they decided to do.

I now have a letter giving me a massive 0.5% cut on my SVR.
I am starting to think they don't want me as a customer any more.
Simple question? :eek: Should I Stay, or should i go now?

Richard

herbiesjp

What is the actual interest rate that you would now be paying?

Then compare against what else is on the market - taking into account fixed rates appear to be coming down, and trackers are coming back out with some lenders.

However watch out for the tighter LTV bandings to get the better rates, along with collars on some of the newer trackers - which may mean your current deal could still be better for you; especially if you have a low mortgage amount

herbiesjp

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ricochet777

They Just advised a drop of 0.5% to 5.49% for me.

herbiesjp

Well you can find cheaper rates than that - with varying fees.

It all depends on whether you want a tracker or fixed rate ( or something else)

As stated before it will also depend on the LTV band you fall into - so what is the property price and what is the mortgage amount?

ricochet777

I paid £220k for the Property in May 2006, so I guess in the current turmoil it's worth a little less.
Fortunately I only had a £130k repayment mortgage, and tat is now down to £124998 owing.

herbiesjp

At that level you should have the pick of the deals - even if your property was now worth £200k

opinions4u

Is this 0.5% cut in relation to the first BofE cut, or the more recent 1.5% cut?

Might be worth waiting until their response to the more recent cut is known.