Co-op about to launch new 5 year fixed @2.79% (£999 fees) - other banks to follow?

latecomer

We finally made the decision to re-mortgage with the co-op (5 year fixed, 3.49% , £0 fees) after a number of weeks thinking and checking alternatives and phoned a short while ago. Right at the start I was asked what out LTV is (around 25-30%) and was told a new product is being launched on Friday which is 2.79% and £999 fees. Great for us as it will save approx us £1500 over 5 years.

Any one know if other banks are going to or likely to do the same?

This isn't good news for indecisive people like me

ACG

Banks at the moment are able to get money off the govt at a low interest rate.
Over the last couple of months banks have been reducing their rates. I think we have pretty much all but seen the bottom of it, there may be the odd further reduction, but i cant see banks being prepared to reduce it too much more otherwise they wont be earning as much...and it will probably bring with it more problems when the only rates available in 2-5 years are a lot higher than they currently are.

latecomer

I have to say I didn't expect rates to fall any lower and hence why I was on the phone to apply for an existing product. With rates at this level we are reducing our term by 3 years on the new mortgage to keep the monthly payments the same as we currently pay.

Hoping with some overpaying to get the mortgage pretty much cleared by the end of this 5 year period

michaels

It is Friday today - nothing on the coop website (well nothing below 3.29% anyway)...

latecomer wrote: »

We finally made the decision to re-mortgage with the co-op (5 year fixed, 3.49% , £0 fees) after a number of weeks thinking and checking alternatives and phoned a short while ago. Right at the start I was asked what out LTV is (around 25-30%) and was told a new product is being launched on Friday which is 2.79% and £999 fees. Great for us as it will save approx us £1500 over 5 years.

Any one know if other banks are going to or likely to do the same?

This isn't good news for indecisive people like me

michaels

Bump - just wondered if anyone knew any more about the deal the OP suggests is coming soon?

ACG

Its been released.
Might not be on their website but give them a bell they will be able to talk you through it.

liubeliu

It was on the Britannia site yesterday, last deal on list 60% LTV

http://www.britannia.co.uk/_site/channels/mortgage/products/5yr-fixed.html

latecomer

Its also on the Co-op site - I looked yesterday evening. Not managed to apply yet but will be doing so on monday.

liubeliu

latecomer wrote: »

Its also on the Co-op site - I looked yesterday evening. Not managed to apply yet but will be doing so on monday.

http://www.co-operativebank.co.uk/servlet/Satellite/1343802392607,CFSweb/Page/Bank-Mortgages#5yr

Half way down the page

Yorkie1

Are Britannia and Co-op the same institution, or just have similar deals?

ACG

Brittania are owned by co-op. Their rates are the same. Their mortgages differ very slightly with some of the features.