We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Advice with mortgage - I've been collared.
darthbagger
Posts: 1 Newbie
Hello Folks,
I am with the Scarborough Building Society. Currently my mortgage rate is 3%. (I understand this to be quite a good rate) Unfortunately, it has been at this rate for a few months now because it has a 'collar' on it. A collar is (I believe) a minimum rate that the society refusses to let my rate go below.
I have not benefited in anyway from the recent cuts in the Interest Rates - because of this collar. If I were to have benefited, I would expect my rate to be in the region of 1.5%.
Is there a way round this clause? Have I been duped?
I am with the Scarborough Building Society. Currently my mortgage rate is 3%. (I understand this to be quite a good rate) Unfortunately, it has been at this rate for a few months now because it has a 'collar' on it. A collar is (I believe) a minimum rate that the society refusses to let my rate go below.
I have not benefited in anyway from the recent cuts in the Interest Rates - because of this collar. If I were to have benefited, I would expect my rate to be in the region of 1.5%.
Is there a way round this clause? Have I been duped?
0
Comments
-
No, not at all - no duping or way around it - you're doing brilliantly in fact. That's the lowest rate available on the market.
Most deals incorporate a collar or a limit which puts them a couple of percentage points above the Bank of England rate - though it would be great if we could get mortgages at that rate!0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 355.6K Banking & Borrowing
- 254.8K Reduce Debt & Boost Income
- 456.1K Spending & Discounts
- 248.2K Work, Benefits & Business
- 605.7K Mortgages, Homes & Bills
- 179K Life & Family
- 263.5K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.7K Read-Only Boards