2 year fix - CG, TSB, Scot Wid, or Abbey

MikeyC123

Hi Everyone

About to bite the bullet and commit to a mortgage deal and wondered if anyone has anything specific to say about these lenders please. The Rates are;

2 year fix
Abbey 4.29 Base After 4.94 Fee 995
Lloyds TSB 4.39 Base After 3.5 Fee 1995
C&G 4.39 Base After 3.5 Fee 1995
Sct Widows 4.39 Base After 3.99 Fee 999

I was initially thinking Abbey as they have the lowest 2 year rate, however their base Rate that it reverts too is much higher than the others. i.e. at the end of the period assuming the differentials remain the same our rate would JUMP, whereas with the others our rate would fall. I know it's easy to think well just remortgage again in 2 years time, however we then have to go through the whole LTV issue and if property value has fallen then attractive rates might not be available to us (75% this time round). Our current SVR is 5.79 standard life. Given the extra we would pay each month with Lloyds or C&G for the 3.5 (+/- whatever mortgage rates do) then that probably totals another arrangement fee in 2 years time, but the logic is the pressure would not be there to HAVE to remortgage if say rates are +2.0% what they are today that would only be SVR 5.5% , the best I can fix at today for a longer period is about 4.99/5.09.

I seem to recall reading that abbey have done a bit of a standard life and not passed on much in the way of cuts as they are foreign and not under same pressure as UK banks, is that true ? Of the other lenders in list above what sort of reputation do they have (any got any first hand exp) and have they been passing cuts on to customers on SVRs ?

Thanks

p.s. does anyone know if any of the above companies include legals and valuations as that has a bearing too.