Have I Got the Best Mortgage Ever ?

Ninian_Park_Veteran

Managed to fix at 0.17 above base rate for life.

Will I ever need to change with 10 years left to pay ?

opinions4u

Great mortgage for now.

In know people with rates that are currently 0% because they track below BofE rate.

Come back if base rates are 7% in a couple of years and tell those who are fixing at 5% now what you think then!!

pmcg01

Ninian_Park_Veteran wrote: »

Managed to fix at 0.17 above base rate for life.

Will I ever need to change with 10 years left to pay ?

who with? and is there an early redemption fee?

mdhelp

Wolu wrote: »

Do try to save some money on the side and pay your mortgage off more than they want you to (if there isnt high charges apply and since you are saving money from a relatively cheap mortgage). They will help your later life if the interest rate do go up - but there is re-mortgage option you can always go for if interest rate flies

Or it may be more beneficial to put the money aside and put into higher interest bonds over the next 4-5 yrs.

dimbo61

If you are now paying 0.67% on your mortgage WELL DONE but put every penny you save into either cash ISA,s or regular savers and you may be able to repay your mortgage in much less than 10 years.

PBA

Who is that with? I didn'r know about anything better than 0.19% above base. Can't say I'm jealous tho, as I'm on 0.25% above base. I remember chatting with customers a couple years ago who insisted they wanted the 2 year fix at 4.19% rather than the flexible at 0.49 above base. Foolish decision!

chivers1977

Barclays had 0.17% above BBR before the 0.19% above BBR product

Kavanne

Are you overpaying?

Mine is BR + 0.75% and I am paying the difference between my old payment and new one into a savings account fixe at 6% so i am making a tidy profit

I am also always keeping an eye on the BR so I can jump on a fix if the rates start rising.

Trying_to_be_good

chivers1977 wrote: »

Barclays had 0.17% above BBR before the 0.19% above BBR product

And +0.18% before the +0.17% - I'm sure it made sense to them to keep changing it! All with unlimited overpayments and no ERCs.

I've got +0.18% but the customer service is rubbish, and the complaint is now in the FOS backlog. I'm changing to a fix now - I think the good low rates will end before too long, and fixes will be higher then. But it's nice to not really pay interest on the mortgage (ISA still in good fixed rate until Christmas).

Ninian_Park_Veteran

dimbo61 wrote: »

If you are now paying 0.67% on your mortgage WELL DONE but put every penny you save into either cash ISA,s or regular savers and you may be able to repay your mortgage in much less than 10 years.

Yes mine is with Woolwich (Barclays), I'm overpaying by about £400 per month taking about four years off my original 12 year loan. With my rate at 0.67 that takes the term down to about 8 years, so my theory is that if I keep making the same payment I should pay it off in about 10 years as long as rates don't rocket.

Would I be better off putting the over payment of £400 in an ISA ?

opinions4u

Ninian_Park_Veteran wrote: »

Yes mine is with Woolwich (Barclays), I'm overpaying by about £400 per month taking about four years off my original 12 year loan. With my rate at 0.67 that takes the term down to about 8 years, so my theory is that if I keep making the same payment I should pay it off in about 10 years as long as rates don't rocket.

Would I be better off putting the over payment of £400 in an ISA ?

You'd be better off putting it in to any savings account paying a net rate of 0.68% or more!

If you do this, keep an eye on the mortgage rate and savings rate ... there will most likely come a point where savings rate slips below the mortgage rate. At that point make your part repayment. The interest earned will outweigh the interest charged.

Regular Saver's are certainly one option, especially those that would let you withdraw once a year penalty free.

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