GE Money Base Rate

irishangel2011

My mortgage is with GE Money with whom I have had nothing but problems with, but that aside I have been doing some investigations into base rates and their rates. GE Money state their variable rate is 3.39% which is what I am on for my mortgage, however on their website it states if you took your mortgage prior to August 2010 then your mortgage would be inline with the Bank of England or Base Rate, which I did.

I today spent ages on the phone trying to discuss this with them, but didnt get anyway, so I guess my questions are am I misunderstanding their website, and two if I am not how do I take this further?

Thanks for any info!

GMS

Have a look at your mortgage offer, this will show your reversion rate.

irishangel2011

Its changed since then i was on a higher fixed rate for 3 years and then moved to their 3.39 rate from January this year??

GMS

Your reversion rate cannot change. It can alter if linked to bank base rate or Libor but unless it was always due to revert to Standard Variable Rate it cant change to it.

What does your offer say will happen when the fixed rate ends?

irishangel2011

I dont have my original letter so may have to request it which will be a nightmare as they have not responded to my last two emails or last letter,and i hung on the phone this morning for 20 minutes because not a member of staff could help either!!

GMS

When did you take out the mortgage? Did a broker arrange it? If so contact them, they may have a copy of the offer available

irishangel2011

Yes it was a broker think I may have that info so will check it out.

Thanks

Thrugelmir

irishangel2011 wrote: »

Its changed since then i was on a higher fixed rate for 3 years and then moved to their 3.39 rate from January this year??

From the website.

When will the GE Mortgage Reversionary Rate impact me?
Customers on a Fixed Rate, will move onto a GE Reversionary Rate as their fixed rate expires. The GE Mortgage Reversionary Rate will track above the GE Mortgage Base Rate as explained above.

This refers to the following.

How is the GE Mortgage Base Rate calculated?
The GE Mortgage Base Rate (GEMBR) is calculated based on the operating costs of the business and may go up and down over time. The Supplementary rate is based on customer profile and is a margin which remains the same for the lifetime of the loan and is added to the GEMBR. The Reversionary rate consists of the GEMBR plus Supplementary rate.

Seems as if the rate can be set as they wish!

GMS

Thrugelmir wrote: »

From the website.



This refers to the following.



Seems as if the rate can be set as they wish!

As is the case with any lender using SVR (aside from those who linked it to base rate)

Earlier GE mortgages reverted to Bank Base Rate plus x%. If the OP has a tracker revert then the GE SVR will not be valid.

irishangel2011

I dont fully understand but presume you are saying GE can decide on their own base rate and there is not much I can do?

GMS

If you are on a Standard Variable Rate then the lender can amend as they like,

If you are linked to base rate or Libor then the rate will follow