Renew with currect provider or change?

lisa76

I have been with Principality BS for 10 years on various fixed rates, mainly because they have always offered me good deals. My fixed rate is up for renewal at the end of Feb and I'm really really unsure of what to do. I have whittled down to the following choices:

Principality:
3 yr fixed 4.49% £399 fee
2 yr tracker 3.49% £999 fee
3 yr tracker 4.09% £399 fee

Woolwich:
2 yr fixed 3.89% £199 fee £99 solicitors fee and if I go with this and have left the Principality I have to pay £135 leaving fee

Oh and it might help if you know my mortgage details
15 years 2 months remaining
£76500 interest only
£8191 repayment

I don't really want variables or trackers because I want to know exactly what I'm paying month to month to be honest. I am thinking of staying with the Principality because I don't want to go paying fees/solicitors etc but they don't do a 2 year fixed and I'm not sure whether the 3 year is a particulary good one.

Any comments would be gratefully recieved.
Thanks Lisa

dimbo61

How are you going to pay the Interest Only part of the Mortgage ?
I like long term fixed rate deals ( because I like to know how much my mortgage will cost each month !)
What rate are you paying now ? Is this a higher interet rate than they are offering you now ?
Are you planning on staying in beautiful Barry ( can I come stay there when Gavin and Stacey are filming ???)
Me I would take the 3 year deal and if that saved me money each month compared to current mortgage payment I would ask for the mortgage payment to remain static and therefore overpay each month to get rid of mortgage.
But its only my opinion and you must make the decision GOOD LUCK.

dimbo61

sorry poor post !
question should have been " how are you going to pay OFF the IO part of the mortgage at the end of the term in 15 years ( endowment ?)
Can you afford to change the whole mortgage to repayment and fix for a few years!( cash in endowment and pay off mortgage balance!)
"Interest " is spelt like that and not Interet
Sorry

lisa76

At the moment I'm finishing a 3 year fixed at 5.39% so the 3 year is less for me. I've got an endowment which isn't on track to pay out (surprise surprise) so I was going to revert a bit more onto a repayment so that I am paying what I'm paying now per month.

I am planning on staying in Barry - I'll ignore the beautiful comment cos believe me they show the best bits on telly LOL!!!

Thanks for your advice, I thought I was ready to change yesterday and then I started adding on fees here and there and I started thinking!!!

dimbo61

Woolwich is a better rate BUt only a 2 year deal PBS is 3 years
Rates have never been so good
Sounds a good idea to move more of the debt onto repayment

dimbo61

Check your paperwork now !
What does you mortgage revert to at the end of the fix ?
Mine goes onto a BOE tracker at 0.75%

dimbo61

You might want to post the endowment details on here and the experts( not me ) can tell you if its worth keeping or cash in now and pay a lump sum off mortgage and pay the monthly endowment premium off the mortgage each month.

lisa76

It reverts to 4.99% which shocked me to be honest as I was going to go onto their SVR if it was as low as some people's on here - so I got to do something!

I haven't got my endowment details to hand, but basically it's with Aviva, been running for 10 years and I pay £42.95 per month, should have been on track for £28000 but it's on amber alert!!! Someone suggested that I ring them and tell them to 'pay it up' and basically leave it in there but stop paying any more and pay that as an overpayment - never heard this before though so I've never done anything about my endowment.

Thanks for your help!

dimbo61

Lots of posts on here over the last few months telling people to post details of the endowment and then sell the endowment !
Use the money to reduce the mortgage ( change whole mortgage to repayment) and use old premium ( endowment ) to pay the extar cost of new mortgage
3 year fix at lower rate than old fix with no fees/costs sounds good