Bank upped interest rate after first consultation – possible negotiation?

BOOTP

Good Evening,

We are first time buyers with an offer accepted. Last week we went to a major bank to find out about a 5-year fixed rate mortgage and was very happy with the deal but could not take it up there and then because our proof of identify was in the post.

As a result an appointment was scheduled for later this week. The problem is that I checked online and the deal we want has now gone up meaning monthly payments would be an extra £40. Obviously I want the previous rate so my question is really how should I approach this appointment; should I see what they say first and not mention about the change of rate or should I mention it and propose to take the mortgage there and then with the old rate? I would like to point out we do not have a formal document from the bank; only printouts from the website and an appointment letter both of which they gave us in the bank.

Also, I expressed my concerns about rate increases but was told that ‘they’ have not increased rates for the last 3 months.

I would be grateful for any advice!

Dcakes

We also had this with Abbey - if you have not booked and paid the arrangement fee they will almost certainly not offer you the rate you asked about previously if it is no longer available. (again I can only say this from my experience with Abbey).

The rate we wanted was even still on their site a week after we were told it had been taken off sale and they still wouldn't stand by it

dwsjarcmcd

The best advice I can give is to look around for another deal to recoupe your additional costs. Unfortunately this happens - when fixed rates either increase or decrease depending on what is happening on the money markets. In fairness to you, your bank should have told you that.

If I was to give you an 'angle' to look at them to reinstate the previous deal, it surrounds the proof of ID. You should have been able to reserve the funds there and then and supplied the ID later, not sure why the Bank told you you couldn't do this. That would be your best approach, IMHO.

David

_Andy_

Assuming an application wasn't submitted (which seems to be the case) you won't get the old rate.