We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
📨 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!
Can you Hedge to get effect of Fixed on a Tracker?
Options
crispy2_2
Posts: 35 Forumite
Hi,
I saw mentioned on a thread that there is a way to buy an instrument that gives the effect of a fixed rate mortgage whilst one is on a tracker. The thread mentioned that it was not perfect but didn't go into any details.
I'm currently on an excellent tracker deal and would like to hedge against future base rate increases. If there is a way that is cheaper than me jumping to a 4.5% 5 year fix then I'd like to consider it.
Does anyone know how this can work, and is it feasible for a normal sized mortgage?
Thanks!
I saw mentioned on a thread that there is a way to buy an instrument that gives the effect of a fixed rate mortgage whilst one is on a tracker. The thread mentioned that it was not perfect but didn't go into any details.
I'm currently on an excellent tracker deal and would like to hedge against future base rate increases. If there is a way that is cheaper than me jumping to a 4.5% 5 year fix then I'd like to consider it.
Does anyone know how this can work, and is it feasible for a normal sized mortgage?
Thanks!
0
Comments
-
I agree with you and I was very interested in this. I had never heard of it before and do not understand how it works.
Bump . . .
Foreversummer0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 351.1K Banking & Borrowing
- 253.2K Reduce Debt & Boost Income
- 453.7K Spending & Discounts
- 244.1K Work, Benefits & Business
- 599.2K Mortgages, Homes & Bills
- 177K Life & Family
- 257.5K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.6K Read-Only Boards