Can Banks offer mortgage other than the advertised rate?

kellyp

I have dropped of my fixed rate mortgage with the Halifax, and am currently paying approx £450 in the standard variable rate.
I've seen a very good mortgage deal with first direct, which if fixed for 5 years (approx £430/month) is less than what I pay on the halifax standard variable rate, and has no fees attached (so only fees would be getting out from the halifax deal). I've booked an appointment with Halifax this weekend to discuss my options and I'm wondering if they will match (or at least improve) the other lenders rate. Does anyone know? I also have mortgage protection insurance with the halifax (only critical illness and death cover) - does anyone know if you can keep this insurance policy if on another lenders mortgage?

Thanks

kingstreet

Why oh why do people spend so much time finding the best mortgage deal, then completely blow it by buying overpriced, poor quality insurance cover from the lender?

Yes, you probably can take your Halifax protection plan with you, but you will probably find you can get better quality cover elsewhere. Just don't cancel the existing cover until such times as your new cover is started.

On the mortgage issue, lenders don't have the ability to shave rates to win business. What they do have is a range of products for existing borrowers not moving home. We call them retention products, or Product Transfer rates in Halifax parlance. They aren't circulated to the public, so you can only find out about them by calling in, or going into a branch, or having access to the Halifax intermediary website.

Looking at them for you, Halifax has fixed rates of 2, 3 and 4 years. Nothing over 5 I'm afraid. The best 4 year rate is 4.49% available upto 60% of the loan to value and there's a £999 fee. The no fee offer is 4.69%. Higher rates apply to high loan to value figures.