SVR or remortgage ??

Jarles

Just a brief outline - im currently have a mortgage with Coop which is just coming to the end of its 2yr term which tracked .39 above the bank of Eng base rate, i go onto the SVR of 4.24% at end of December, i owe £64000 with 15yrs left, is it worth moving over to All & Leicester mortgage offering 2 yr fixed @ 3.89% with no fees? The new mortgage would be reduced to 13yrs and over the last 12 months i have been overpaying so am used to paying around £700 p/m. would i be doing the right thing ? Can anyone suggest anything better ? Thx

luckyfool

Why not either take a longer term fixed rate, or a lender reverting to an attractive tracker margin as opposed to Alliance and Leicester where it will again revert to an uncompetitive SVR. e.g. You could get a similar 2 yr fixed rate elsewhere that reverts to 1.99% above base rate or even better.... meaning you could potentially just keep the deal long term unless/until rates rose substantially and you wanted to fix again.

Another alternative would be a tracker rate with a droplock facility that allowed you to switch to fix in future penalty free if rate rises seemed imminent or your circumstances changed.

foreversummer

What are the co-op offering? Can they offer you another fix if it is indeed a fix you are after?

Foreversummer

Jarles

The Co-op have offered me a 2yr tracker at 2.49% with no fee if i move my Bank account over from All & Leicester to there premium acc which does have a £13 p/m fee, the account does look ok and there are some good benefits but i didnt want all the hassle that goes with changing. All & Leic also offerd me a 3yr tracker at 2.99% again with no fees. I originaly was goint to get a tracker but have sort of leaned toward fixed now !

Lucky could u point me at a few plz

Thx for the help