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Fixed Rate Coming to an End

Can I have some advice please? DH and I took out a 10 year mortgage - first five years were fixed at 4.98%. The fixed rate period is coming to an end in January 2011. What shall we do - fix again or leave it for a few months to "enjoy" a lower rate of interest?

We never have any spare money at the end of the month so cannot over-pay anything.

I am a stalwart of the debt free wannabee board so any "extra" money made from paying the mortgage at a lower rate will go towards debt repayment.

Thanks in advance.
Debt free and Keeping on Track

Comments

  • What is your SVR going to be?
  • MrsPorridge
    MrsPorridge Posts: 2,912 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    Sorry - what's SVR?
    Debt free and Keeping on Track
  • [Deleted User]
    [Deleted User] Posts: 35,242 Forumite
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    The rate you go onto after the fixed rate finishes.
  • beecher2
    beecher2 Posts: 3,677 Forumite
    Tenth Anniversary 1,000 Posts Combo Breaker
    The standard variable rate - the rate you'll go on to. You might be lucky and it might be 2.5% or you might be unlucky and find it is closer to your present rate. Dig out your paperwork to see if you go on a tracker, or tell us your lender and someone should know.
  • MrsPorridge
    MrsPorridge Posts: 2,912 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    Thanks - Lender is HSBC - no idea what happens - can phone them (not sure if they are open tomorrow). Will check my paperwork over weekend.
    Debt free and Keeping on Track
  • HSBC had fantastic 5 year fixed at 3.95% for £99 - we went with this (although it cost us £500!!!) - don't know if they are still doing such a good rate though.
  • beecher2
    beecher2 Posts: 3,677 Forumite
    Tenth Anniversary 1,000 Posts Combo Breaker
    I think their SVR is 3.94%. Depends on your LTV what sort of rate you'll get - that 3.95% one is for those with LTV of 60% or less
  • Our LTV is less than 30% and we didn't have to have a valuation done either - they just took the 'average' 4 bed house value in the area.
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