Fix or stay on my "dodgey" BBBR Barclays tracker

Morgage_Confused

I have a 2.18 plus BBBR 0.5 lifetime tracker with Barclays/Woolwich.
Currently paying 2.68%

Now the problem is the BBBR is the BarclaysBankBaseRate which is not guaranteed to follow the BoE rate.

I could take one of the 5 year fixes (2.79%) for example..OR do I trust Barclays wont ramp up their BBBR and keep it following the BoE?

So I guess my question is...can (of course they could) or will Barclays ramp up their BBBR or would it cause them a furore.

thanks

Thrugelmir

Why would switching lenders make any difference?

SVR is set by a lender. The V standing for variable.

Morgage_Confused

Im not on any svr....? Nor is my question about svr?

ACG

Personally based on the info above i would stick.
Barclays/Woolwich have some pretty good rates at the minute which in my mind means they want to lend more money.

Why would they bump it up? Even if they did, its still not a bad SVR rate.
If you move elsewhere you will pay a slightly higher rate - presumably some fees also and then once that rate finishes your on someone elses (most likely) higher SVR rate.

I would stick with that until they do increase their rate or someone offers something more than .1% lower.

Thats my personal opinion - not a professional one, so dont take it as a recommendation

Calfuray

I would stick with the current one, OP as much as possible, then if they do put it up, you'll have a better LTV to get a really good fixed rate.

I don't see it going up for a wee bit yet with banks offering better and better fixes.

Good luck, whatever you decide to do!

Crashandburn

Morgage_Confused wrote: »

Now the problem is the BBBR is the BarclaysBankBaseRate which is not guaranteed to follow the BoE rate.

True. But I can't think of a time when it was out of sync with it. This is just the last 7 years...

http://www.barclays.co.uk/Savings/BarclaysBankBaseRate/P1242557964824

Thrugelmir

Morgage_Confused wrote: »

Im not on any svr....? Nor is my question about svr?

What's BBBR them?

A variable interest rate that is set at the discretion of the lender.

jamesperrett

Crashandburn wrote: »

True. But I can't think of a time when it was out of sync with it. This is just the last 7 years...

http://www.barclays.co.uk/Savings/BarclaysBankBaseRate/P1242557964824

If they were going to put it up they would probably have done so by now as they have plenty of customers on old trackers which are less than 0.5% above the base rate. I can't believe that they make money on such low rates.

James.

Thrugelmir

jamesperrett wrote: »

If they were going to put it up they would probably have done

They would need to be able to justify the increase on commercial grounds. To invoke a change to contractual terms. Such as Norwich and Peterborough BS and Skipton BS did.

The fat lady hasn't sung yet. Banks are far from fixed. So this is always a fallback for Barclays should their financial position deteriorate suddenly.

getmore4less

I think they may have a problem as AIUI there are still some borrowers that have evidence that their BBBR tracks base rate.

There will be a lot of very unhappy borrowers if it does change.

if you do change make sure it has a good follow on rate

Andy_Davies

It's not just mortgage holders who would be unhappy if BBBR decoupled from BoE base rates - there are plenty of other products e.g. business loans, overdrafts etc that are linked to BBBR too.