Getting a better re-mortgage deal with existing lender

johnsmclean

Hello,
my fixed term is up with my lender Abbey. They will not offer me as good a deal as new borrowers (have to pay about 0.4% above. 5.4% fixed over 10 years). I said that I would move my mortgage (£115k on a property worth well over £250K) if they didn't reconsider. They said that was final offer. Any suggestions on what I can try, before considering talking to a broker ? Anyone know of a retention team number I can call for example.

Thanks in advance

homer_j_3

You will find that there is very little flexibility with retention products. The abbey will have done all their calculations etc on the products they are offering and will not have the flexibility to negotiate one off deals for individual customers.

I know that the abbey are fairly competetive and you may just have to bite the bullet, however, get yourself to a broker and see if they can source you anything better and at least that way you will sleep better at night knowing you have the best deal available to you personally.

herbiesjp

Have to agree with Homer_J

Now that you have done your homework with Abbey - have a word with a whole of market adviser and see what deals they can come back to you with.

Don't forget you'll probably have to pay £225 to leave Abbey currently

cloud_dog

I'd say bite the bullet and move to another lender.

Based on the offered rate of 5.4% (approx) and a decent 5 or 10 yr fix at 4.7% (approx - or less), on £115k you will save yourself £67pm, £804py, or.......................
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.................. £4020 over 5 years (and £8040 over 10).

Certainly well worth the cost of re-mortgaging (some may even offer or refund you legal fees, etc).

cloud_dog

johnsmclean

thanks to all who have replied.

I can get 4.9% from Smile (I bank with them and think they are pretty good) and they will pay survey and legal costs. Also, they allow payment holidays and have fewer exit penalties. Going to get a full quite from them and think over figures.

Again thanks for help.