mortgage deal coming to an end

bickiepegs

I have a Halifax mortgage and am shocked to see the amount I would have to pay in arrangement fees if I choose to stay with them. I didn't have to pay for my current rate cos I am an existing customer so when I called to discuss negotiating a new deal, I can't believe that I may have to fork out £1000 either upfront or when I repay the my mortgage with interest incurred with the fee. I thought only new customers pay the fees and existing customers don't. Has anyone asked for the fee to waivered succcessfully?

opinions4u

bickiepegs wrote: »

I have a Halifax mortgage and am shocked to see the amount I would have to pay in arrangement fees if I choose to stay with them.

No you don't. Do nothing and you'll fall on to their standard variable rate of 3.5%.

I didn't have to pay for my current rate cos I am an existing customer so when I called to discuss negotiating a new deal, I can't believe that I may have to fork out £1000 either upfront or when I repay the my mortgage with interest incurred with the fee.

The market has changed massively in the last 18 months or so. The fact you have the choice of adding a fee to the mortgage is a benefit not offered by many lenders.

I thought only new customers pay the fees and existing customers don't.

The balance between fee and rate is all part of the total charge for borrowing. If they charged you no fee but hammered you for a higher rate you'd be equally irritated.

Has anyone asked for the fee to waivered succcessfully?

No chance.

To be fair, you need to look further than the fee. The rate offered to existing customers is far better than the rate they offer to new customers.

Halifax Fixed Rate Deals (Home Movers over 75%):
2 years 6.84% £995 fee
3 years 6.49% £995 fee
5 years 6.68% £995 fee

Halifax Fixed Rate Deals (Existing Mortgages over 75%):
2 years 4.89% £999 fee
3 years 4.99% £999 fee
5 years 5.99% £999 fee

If you're still not happy, shop around.