Standard Life Whas going about the last rate cut and this one??

moneyexpertiwish

Baggieboy wrote: »

Just received a letter from SL to inform me that my mortgage payments will be reducing by absolutely nothing. Despite the fact that the futureperfect mortgage is "the average variable rate of C&G, Abbey, Halifax and SL", there is no reduction in my monthly payments. I will a) be emailing them immediately and b) moving mu mortgage (which is only 33% of value of property so shouldn't have any problems

Hello,

I also have one of these products and you have received a letter for your additional borrowing aspect of your mortgage. You must have taken a further drawdown at some point or have fees associated with your mortgage.

The SVR rate for the additional borrowing was reduced last week and therefore the review of the average rates isn't due on the original drawdown until today (the review date). I have no doubt we will receive a letter over the next week or so with the revised payment and when it is effective from.

There seems to be a lot of people in the same situation with this product that don't understand what they have and are now complaining!!!

I think people should fully understand what they have before criticising.

MikeyC123

Last week my SL SVR discount tie in penalty expired, and along game their letter of the fraction cut. So looking forward to moving to another lender and never giving them another penny. Bye bye SL

treliac

neverdespairgirl wrote: »

why should the banks be "forced" to do any such thing?

The banks cannot be forced to do anything, not unless they are nationalised anyway. However, if SL remain uncompetitive with other lenders, they will deserve to lose business (perhaps they no longer want it ) as customers will take their business elsewhere.

Standard Life will then be left with the least attractive mortgage custom that, for whatever reason, can't be taken somewhere else.

buskerboy

These guys have to please two lots of peole - savers and borrowers.

As a saver I am pretty pig sick at seeing my income disapear down the drain due to reductions in interest rates. These guys are the only ones that are offering 1/2 decent rates at the moment - so they get my vote and my money!

May I suggest that rather then winging on about this that you look around and if you really can get a better deal you change your provider.

Baggieboy_2

OK, well its now the 17th, and a quick look online shows no change whatsoever to the interest rate. As of now my monthly payment on the futureperfect mortgage remains unchanged.

Baggieboy_2

and ps - I'm a saver too - but I don't see why I should suffer both low interest rates on savings and high rates on the mortgage. The simple fact is that the rate of the futureperfect mortgage, as per their conditions, should now be slightly below 5%, but they are showing no signs of doing so. Also, a quick reminder, this is a mortgage forum - the savings forum's over there ->

neverdespairgirl

treliac wrote: »

The banks cannot be forced to do anything, not unless they are nationalised anyway. However, if SL remain uncompetitive with other lenders, they will deserve to lose business (perhaps they no longer want it ) as customers will take their business elsewhere.

Sure, that's a business decision for them.

moneyexpertiwish

I've just received my letter today and the rate has now reduced to 5.51%.

The Standard Life rate still shows 6.59% as their SVR rate change isn't effective until 31.12 (as per my additional borrowing letter). The review looks at the rates of the 4 banks at the 15th of the month.

Therefore, we will see a further reduction in the interest rate next month when it is reviewed as the 31.12.2008 reduction will be taken into consideration at that time.

The rate will not drop to 5% (or whatever was mentioned below). As I said in a previous post, please understand the product you have before passing comment or ask someone for assistance (phone the bank for an explanation!).

wary

Received my letter too. The rates quoted are:
C&G 5%
Abbey 5.44%
Halifax 5.00%
SL 6.59%

As has just been pointed out, the old SL rate is still being used so we should expect a further reduction next month. A couple of the other rates are higher than what someone quoted a few days ago on this thread (C&G 4% Halifax 4.75%). Are these correct but just not effective yet? ... in which case our Futureperfect mortgage should presumably fall even further.

sabretoothtigger

It would be typical if the rates were delayed as much possible, all the banks do this kind of thing just like they delay the money on your cheque when you pay it in even though they get the money immediately

I do believe sl is looking to reduce its housing 'investments'