Should I look for another mortage from my current fixed at 4.89% ?

reggiep_3

I am currently on a 10 year fixed mortgage rate that runs out in August 2015 with a rate of 4.89%
Having looked around most rates seem lower than this at the moment.

Should I be looking to renegotiate with Nationwide or look elsewhere.

Also I have some credit card debt, should I think about moving this at the same time?

I'm not very good at this sort of thing!

Thanks

kingstreet

reggiep wrote: »

Should I be looking to renegotiate with Nationwide or look elsewhere

From what we've seen of other existing Nationwide borrowers doing this, you won't have a choice. If you want to get out of the fix, you have to leave them and pay the ERP. They won't offer you a product to transfer to...

reggiep_3

Is that worth my while? I have 12 year left on the mortgage and see that the current rates at the moment are lower than I am paying!

kingstreet

That would depend on the rate you were transferring to and any associated costs.

dimbo61

What does the fix revert to at the end of the fix period ? not the BMR is it ? 2.5% and tied to the BOE rate plus 2% so currently 2.5% and a great tracker rate in the current market.
4.89% is not a bad rate and I would simply overpay by £500 a month to reduce the debt asap instead of paying fees to remortgage to a different lender.
Dont forget that tracker at the end of the fix

The_J

Given the short term, time left on the early repayment charge, size of the ERC and the likely reversionary rate I would say it's unlikely to be in your favour. I would need to know what rate you could move to in order to calculate the saving/loss.

I would agree with dimbo that making lump sum overpayments would make sense rather than saving, although if the credit cards are a higher rate of interest focus on them initially.

getmore4less

Start with finding out the costs to get out of the deal you have.

Come back nce you know that.