Is it a no brainer to stay with B&M?

sbillingham

I am currently on an interest only tracker mortgage,(-0.81% below the BoE rate) which means my payments are currently zero. This ends in June and after that the rate will rise to 2.49%(+1.99% above the BoE) and my payment will be £130. I have been saving separately for 2 years and will pay a £6k lump sum off the £62k borrowed on my £120k house. I can carry doing the same and make lump sums without incurring any fees as and when I want too.

poppy10_2

Yep. I'd stick with that, it's a sweet deal.

Thrugelmir

sbillingham wrote: »

I am currently on an interest only tracker mortgage,(-0.81% below the BoE rate) which means my payments are currently zero. This ends in June and after that the rate will rise to 2.49%(+1.99% above the BoE) and my payment will be £130. I have been saving separately for 2 years and will pay a £6k lump sum off the £62k borrowed on my £120k house. I can carry doing the same and make lump sums without incurring any fees as and when I want too.

Switch onto monthly rather than annual interest for the mortgage, and repay an additional sum every month. No need to wait until the end of the year.

sbillingham

Thanks guys for your help and I will be staying with B&M and pay lump sums on a monthly basis as per your advice. With regards to switching the interest charge to monthly I will speak to them on Monday.