Fixed or Tracker?

Giraffeseeker

Hi, my deal has finished with my bank and so they are putting me on a tracker which today is 4.24%.

I can change to another product and the ones I have been offered without fees are:

- 2.09% lifetime tracker
- 3.29% fixed for 2 years

Have opted for the tracker but now am worried I made the wrong choice and thinking it's not too late to call up and change it...

Any advice? Thank you

DannyboyMidlands

Whats the point in a 2 year fixed?

Over a standard 25 year term you would have to remortgage around 12 times. So it pretty much is a tracker, just hasn't got the balls to say so and is more expensive.

For what it's worth I think that you made the right choice with the lifetime tracker.

Giraffeseeker

Thank you :-)

That's what I thought originally, then I doubted myself!

The_J

Rates would have to roughly rise about 2.5% on an even basis to make the fixed rate more cost effective. Doubt that's going to happen.

dimbo61

If you are now paying less than your old mortgage payment then
OVERPAY< OVERPAY<OVERPAY every month :-)

fiesta04

Good advice yet again dimbo....but please stop shouting overpay cos I can still hear you all the way down here.

[Deleted User]

I would also chose the tracker.
Can I ask which lender it is? I am also remortgaging, that is a great rate.

getmore4less

is that 2.09%(bargain of the year) or is that +base(so 2.59% still a good deal)?