Need advice please :)

katslater1976

Hi, My mortgage with the skipton is due to be changed, I have just spoken to them and they can offer me the following:

4 Year Fixed (No fee) @ 5.78%
4 Year Base Rate Tracker (No Fee) @ 4.85%
2 Year Fixed (£195.00 Fee and £995.00 final arrangement fee) 4.79%
2 Year Base Rate Tracker (£195.00 Fee and £995.00 final arrangement fee) 3.85%

I have an 82% LTV, the difference between the 4 year fixed and 2 year base rate tracker is £150.00 per month but I haven't got a clue what is going to hapen with the rates and want to try and keep my monthly payments as low as poss as is going up £100+ from my previous rate anyway, BUT I don't wanna be stung again in 2 years time!! HELP!!!!!!!!!!!!!

GMS

Only you can decide on what your attitude to risk is.

If you are worried about rising rates then fix. If you want lower payments and are prepared to risk rises then go for the tracker.

4 year fixed looks a decent deal, and after 2 years 5.78% may look a superb rate.