!!!! Info for First Direct SVR customers !!!

cbrpaul

I have just called FD to enquire what their approach is on the latest 1% drop , the reply ;


" We are dropping the full 1% on our SVR from January 2nd 2009 sir, making a SVR of 3.69% "

Ok its a month delay!! but I believe this is one of the , if not the best current SVR rates in the UK !!!


Hope that info helps some

tcall

Thanks for the info

Alan_Cross

Dear God, if FD can operate profitably at rates like that, it puts people who've been defending the miserly 6%+SVR lenders completely on the back foot.

maninthestreet

Will this rate apply to their offset mortgages??

Mr._Nice

Their SVR only applies to offsets (their only non-offset mortgage is a lifetime tracker, so SVR irrelevant).

WestonDave

Bit of background on this - not so long back HSBC (who own First Direct) were taking flak from investor groups because they were not pursuing aggressive lending as some other banks were doing and consequently the investors felt they weren't getting good enough returns on their shares.

Now most investors in other banks have seen their shareholdings more or less wiped out either by them folding, forced mergers or government/middle east bail outs.

So steady as you go and pick your borrowers carefully wasn't so daft after all! The other lenders are now having to unpick the losses on excessive lending which is why they can't cut their rates. The only other lender in this ball park is Nationwide which again as a mutual had no incentive to follow desperate practices to rack up profits.

3.69% and decent customer service - can't be bad!

MorganW

Applied for the SVR offset mortgage 2 days ago so am pleased to see that the rate is going down so quickly. However, not so pleased about the 12-15 weeks I've been quoted to turn around the remortgage!

NathRSW

Cheers for this information.

Just to let you know myself and someone else called Poundsaver on the thread below had a letter about the previous cut confirming the rate cut on my variable offset mortage from 5.5% to 4%. I'm guessing that my rate will change to 3% too which will be good news.

On the website it says that their SVR is 4.69% which is different than what is stated on my letter

Im going to scan a copy of the letter and attach it later today when i get back from work.

NathRSW

http://forums.moneysavingexpert.com/showthread.html?t=1283713

cbrpaul

they know how to run profitable banks from Hong Kong you know

mitchec1

NathRSW wrote: »

Cheers for this information.

Just to let you know myself and someone else called Poundsaver on the thread below had a letter about the previous cut confirming the rate cut on my variable offset mortage from 5.5% to 4%. I'm guessing that my rate will change to 3% too which will be good news.

On the website it says that their SVR is 4.69% which is different than what is stated on my letter

Im going to scan a copy of the letter and attach it later today when i get back from work.

I got the same letter.

Might have something to the with the fact both of you have offset mortgages with the life time tracker option which is currently not avaliable for other customers.

You should get a letter telling you that because of the BOE's decision your rate has dropped to 3% from the day of the decison.

People on an SVR will have to wait till January 2 to get their 3.69% while yours will be passed on straight away