should i ditch and fix ?

adamcarvell

help or advise please feb 2010 i pannicked and locked my mortgage into alliance and leicesters 4 year fix at 4.79 mortgage was £83.000 back then the reason for the panic was job loss threat and mild depression at the time. but now there are much cheaper five year fix's around should i bite the bullet with the exit fees which is 3% i think but not sure and take another lower rate product on ?. or stay with the alliance and leicester?. money is tigh in our house at the moment so any reduction in outgoings is very welcome but im unsure what to do ?

adamcarvell

anyone with any advice please as im confused as what to do ?.

Malky

Will you save £2490 by switching to a new, say 5 year fixed, plus set up fees? If money is tight, can you afford to throw away £2490?

adamcarvell

sounds like im stuck for a couple of years then.

dimbo61

You have a good long term fix for another 3 years and the security that brings
Most fixes for 5 years are at least 4% plus fees of £1000+ legals,searches,ETC so why not stick with what you have but read carefully what happens when the fix ends and if you have spare money after clearing any other expensive debt then overpay the mortgage

adamcarvell

yeah ive seen some lower fixes and just though maybe i could switch to them.

Thrugelmir

How will you pay the early redemption charge?

adamcarvell

add it to the mortgage i guess.

Thrugelmir

adamcarvell wrote: »

add it to the mortgage i guess.

Doesn't help you in the longer term.

If you can tough it out.

Good advice and support on the Debt Free Wannabe board.