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Do homeowners lose out on high interest vs repayment in early years of mortgage?

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  • Wantaflat
    Wantaflat Posts: 32 Forumite
    Ninth Anniversary Combo Breaker
    kingstreet wrote: »
    I can't answer that. Only you can decide on your priorities.

    The follow-on rate is important if, for any reason, you can't remortgage at the end of the current offer, or your lender's customer retention products are not attractive to you.

    Lenders' standard rates are nothing to do with the BoE base rate. They cannot borrow at that rate, they use either retail funding and mostly have to pay more than that, or they use the money markets, again at higher rates.

    Even lenders taking advantage of FLS (Funding For Lending) are paying more than that, more like 0.75%. That only applies to new lending too...

    I think I pretty much answered my own question, thanks for all your input it was good help
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