Alliance and Leicester tracker

speedbird1973

Good evening!

I took out a "discount" mortgage with A+L in feb 05. For two years it was discounted from the SVR then from March 08 to March 09 it tracked the BOE at 1.25% above. At the time a bit of a poor deal for the last year, but now and excellent deal.

My letter last year, notifying me I was going from the SVR discount to the Base Rate tracker said that this would last for "the remainder of my mortgage, giving me an attractive long term deal".

Yesterday I go a letter saying that from march 09 I wuold revert to the SVR.

I know some trackers on this type of deal switch after a year, others are for the life of the deal. I've no idea where the contract is, however does anyone have any similar experience from about the same time? I've taken it up with them direct, and they have the letter on file. I guess the contract is final, however I've been left with less than a month to arrange a new deal after acting on the letter in good faith.

Just curious as to peoples experience and opinion.

cheers

speedbird1973

Does anyone on the day shift have an opinon?

ta

simpywimpy

I think I reverted the svr and my payments have dropped through the floor. I think I've dropped from 4.3% to 2% with A&L. Did they tell you what the payment will be from march?

speedbird1973

My payment is going up.

£650 this month £820 next.

Sounds like noone has a similar experience, I'll wait and see what they say.

Thanks

rlc22

speedbird1973 wrote: »

My payment is going up.

£650 this month £820 next.

Sounds like noone has a similar experience, I'll wait and see what they say.

Thanks

Do you have your KFI document as it should state in there what the deal is after the initial product has ended?

blueyellowred

Had a similar letter as well - my deal was 5 years discounted and now will go up to SVR
Called them and was given few options:

Fixed:
5 years 4.99% fee £599
5 years 4.89% fee £799
2 years 4.69% no fee
Overpayments allowed up to £499 per month + up to 10% of mortgage in every January

Tracker -only 2 years:
BoE+2.29% fees 1% of mortgage
BoE+1.79% fees 2 % of mortgage
Overpayments unlimited, also held as reserve(?!?) so down the road I can ask for them to be paid back if I need money.
All A&L mortgages have 3% early repayment fees, interest is monthly.
I have 79k and 15 years left.
Any opinions are welcome.
Thanks in advance.

arunadasi

Oh dear, now you have me worried. I was on a similar deal apparently. I was on a discount svr and changed to a Fee Free Long Term BRT + 99% in September 2006.
The interest has gone donw steadily and now it is £226.
I don't understand how, if they told you it was for the length of the mortgage, they can suddenly change it.