what to do now

berty30

what to do now
next month is my last payment of my 5 year fixed rate with woolwich i was on a 5year fixed at 5.99 woolwich have told me that after next months payment if i do nothing i will go on their lifetime tracker that tracks the base rate by 0.95 so it will be 1.49 they said i can go on lifetime tracker or sign up on 2year fixed at 2.99 or another 5year fixed at 3.99.
also if i take the lifetime tracker i will have money spare so should i just do overpayments each month or should i keep putting it in an isa each month at 3.05%
my mortgage has £54000 left on 20years

Dave_Ham

berty30 wrote: »

what to do now
next month is my last payment of my 5 year fixed rate with woolwich i was on a 5year fixed at 5.99 woolwich have told me that after next months payment if i do nothing i will go on their lifetime tracker that tracks the base rate by 0.95 so it will be 1.49 they said i can go on lifetime tracker or sign up on 2year fixed at 2.99 or another 5year fixed at 3.99.
also if i take the lifetime tracker i will have money spare so should i just do overpayments each month or should i keep putting it in an isa each month at 3.05%
my mortgage has £54000 left on 20years

Fill your boots on the the Standard Variable and save to the ISA in my opinion...

When things start to turn, pay off the chunk from mortgage and see where you are.

Good luck

paulmapp8306

Yep - id do that as well.

Thrugelmir

Save the money into an ISA or even top up your pension with part of the money while there's an opportunity.

TC1

I'm lucky enough to be on the same rate at the moment.

Is this actually their SVR or is it a lifetime tracker which tracks the BBBR.
The reason I ask is because there have been a few banks/building societies that have increased their SVR recently. IF the Woolwich/Barclays increased their SVR would it necessarily affect those tracking the BBBR. Are they intrinsically linked ?

Thanks

TC1

Thrugelmir

Some older mortgage contracts may well a different wording. This is what the Barclays website currently says "Barclays Bank Base Rate typically follows the Bank of England Bank Rate but it is not guaranteed to do so.". So well worth checking what your documentation says.

TC1

Thrugelmir wrote: »

Some older mortgage contracts may well a different wording. This is what the Barclays website currently says "Barclays Bank Base Rate typically follows the Bank of England Bank Rate but it is not guaranteed to do so.". So well worth checking what your documentation says.

Above is what is says on my documents. So just out of interest if Barclays put up their SVR would that automatically that my product would go up too ??

getmore4less

Barclays BBBR trakers and SVR are not linked.

IF they put up the BBBR without a BR rise it will cost them a fortune in complaints processing.

berty30

thanks for all of the advice i think i will put all of the extra money into the isa and go from there,they told me the fixed rates that they were offering me came with no fees but when i came of them in either 2 or 5years that i would then go onto a rate of 4.89% so i think that the liftime tracker of 0.95% above the base rate is looking even better.