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!
5 year fixed 4.79% - No Fee Coventry.
phil_51
Posts: 106 Forumite
5 year fixed 4.79% - No Fee Coventry.
£80,000 mortgage.
Existing customer pay No Fee new customer pay £995.
5 % overpayment p/a. and Offset facility.
Q. Is there much difference in real costs between overpaying and using the Offset facility?
5% overpayment is enough for me at the moment but 3 years down the line it will be above this and closer to 10%.
To pay 10% over payment the fixed rate is 4.99%.
£80,000 mortgage.
Existing customer pay No Fee new customer pay £995.
5 % overpayment p/a. and Offset facility.
Q. Is there much difference in real costs between overpaying and using the Offset facility?
5% overpayment is enough for me at the moment but 3 years down the line it will be above this and closer to 10%.
To pay 10% over payment the fixed rate is 4.99%.
0
Comments
-
5 year fixed 4.79% - No Fee Coventry.
£80,000 mortgage.
Existing customer pay No Fee new customer pay £995.
5 % overpayment p/a. and Offset facility.
Q. Is there much difference in real costs between overpaying and using the Offset facility?
5% overpayment is enough for me at the moment but 3 years down the line it will be above this and closer to 10%.
To pay 10% over payment the fixed rate is 4.99%.
Can you post a link?0 -
No real difference between overpaying and putting money in the offset, provided you tell them to reduce monthly payments by the offset pot rather than to keep the payments the same and use the effective overpayment as a capital reduction. You get the choice with the coventry.I'm a Forum Ambassador on the housing, mortgages & student money saving boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Forum Ambassadors are not moderators and don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com (it's not part of my role to deal with this). Any views are mine and not the official line of MoneySavingExpert.com.0
-
No real difference between overpaying and putting money in the offset, provided you tell them to reduce monthly payments by the offset pot rather than to keep the payments the same and use the effective overpayment as a capital reduction. You get the choice with the coventry.
Do you get a choice with First Direct? I am about to move to FD, and would like to overpay by about £1,000 per month if possible. The way they have described it, these payments just collect in a separate account, thereby reducing the interest.
I was quite happy with that, but is there a better way to do it?0 -
Was sent my latest letter by Coventry today - they have dropped their rate to 4.04% - so they have passed on the full 0.5%.0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 351.7K Banking & Borrowing
- 253.4K Reduce Debt & Boost Income
- 454K Spending & Discounts
- 244.7K Work, Benefits & Business
- 600.2K Mortgages, Homes & Bills
- 177.3K Life & Family
- 258.4K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.2K Discuss & Feedback
- 37.6K Read-Only Boards