Natwest online Mortgage Deal Switch - Is there a catch?

Synonymous

Hi

I'm coming up to the end of my mortgage deal with Natwest this month, and have been looking at their deals for exisiting customers, where you can switch deals without a new valuation, or credit checks etc.

The new deal seems to be competitive compared to other lenders (3.15% 2yr fix, my current tracker is 3.49%), and I am in a situation where I have temporarily reduced my hours at work, so even though they will shortly increase again, I cannot provide my mortgage advisor with three months of decent wage slips in order to find a new mortgage elsewhere. I have savings so have no problem meeting my mortgage repayments.

It seems a sensible option to switch to another Natwest deal, saving all the extra checks and costs, but I feel like I might be missing a catch, especially as it's so easy to switch it online! Worried about waiting three months and then losing a good deal given the recent SVR rises at some banks.

Any advice would be much appreciated, thank you in advance.

betmunch

Why are you worried about losing a good deal with another lender when you cant provide the payslips that are going to secure you said good deal?

What has your advisor advised?

Synonymous

Hi,

When I said 'losing a good deal' I meant the one with Natwest, if everything goes up in the next three months. I'll also spend three months on 4% SVR (assuming they don't put it up).

The mortgage advisor said they'll come back to me in three months, only just saw the Natwest switch options.

betmunch

Ahhhh, sorry.

So what your asking is do you take the deal on the table now? or do you pay 3 months on the SVR then take the one that will be available then?

Is that right?

Synonymous

Yes, that, and also am I missing something with the Natwest switch as it seems too good to be true (apart from the £799 arrangement fee). It seems like a big thing to be able to change so easily.

I think there are lots of positives. I will be fixed for two years, at a lower rate than I've paid for the last two (I was a first time buyer then). I won't have to worry about a new deal for a while no matter what happens to my hours at work. Plus I won't get stung if the SVR goes up in the next three months.

But am I missing anything, that's my worry!

Thanks.

betmunch

If you use an Independent Mortgage Advisor then you can pay them a fee and will include all the deals, including direct only, and retention deals, thats why I asked what your advisor has advised you.

This way you have the full protection of the FSCS and someone professional is responsible for the advice given. If its not right you go back to them and complain

If you just click though and pick a deal then you are the one that is responsible as you are choosing the product, its a non-advised sale, the buck stops with you.

kingstreet

I don't know about the products the OP is talking about because they are existing customer only direct deals, but I've just had an email to say a load of NatWest products are being pulled tonight.

MOTWYW

animalgirl

OP - I was going to ask the exact same thing, what's the catch?? If you're still there, did you go ahead with the online switch?

Sarah2682

On a slight sideline, I was wondering if anyone here has actually used the Natwest "switch deals online" option? (i'm currently a natwest mortgage customer, and will be eligible to do this in a couple of weeks time with my current deal shortly coming to an end)

Exactly what sort of questions to they ask when going through the process? The reason I ask is that I went self employed approximatly 1 year ago, and do not want to be rejected on these grounds (most companies require 3 years books which I obviously don't have), but at the same time I do not want to lie and say I am still employed by the same company.

My only other option is to carry on with the standard variable rate,which isn't too bad, but ideally I want to fix for 5 years.

If anyone can shed some light on exactly what details you are required to give on your current employer, if at all, that would be great.

Thanks

Sarah x