17k left to pay

jellyspots

Our fixed rate of 4.99 ends August 2014 and then we move to a variable at santander of around 4.74. We are currently paying £1500 a month at the moment. Trying to find best way to pay off the remaining 17k left of our mortgage. Any ideas please

HappyMJ

As you are will be fine. It'll be clear within the year. If you can get a zero percent balance transfer credit card that could save you a few pounds but requires some very good cash management skills to ensure it's paid of in time before it starts charging interest. Remortgaging won't be worth it. If you could get a personal loan for refinancing at a fixed rate of 4.5% then that would save money and also have the side benefit of being a fixed rate for a few years.

jellyspots

HappyMJ wrote: »

As you are will be fine. It'll be clear within the year. If you can get a zero percent balance transfer credit card that could save you a few pounds but requires some very good cash management skills to ensure it's paid of in time before it starts charging interest. Remortgaging won't be worth it. If you could get a personal loan for refinancing at a fixed rate of 4.5% then that would save money and also have the side benefit of being a fixed rate for a few years.

Hoping to to pay an extra 2k so balance will be 15k. Would I be able to get £15k on 0% somewhere then?

jellyspots

Going to have a look for a 0% money transfer card as think this will work out cheaper and we can then try to pay more off a month. Shame there's a fee of 4% though. Can't wait to be finally mortgage free next year....

jellyspots

Having looked at how much the money transfer card will cost us, we are just going to let the mortgage run on santander. It is due to finish August next year. Aiming to try and pay an extra £500 a month and get it down sooner. Oh so can't wait to not have a mortgage and start having the odd treats.

Alchemilla

Well done you!

cb4fwh

Hiya,

Switch off the 4.74 SVR rate though. You could switch onto e.g. the lifetime tracker at Bank of England base rate + 1.99% meaning that you will be paying 2.49% initially rather than 4.74%

There is no initial product setup fee for this either...

jellyspots

cb4fwh wrote: »

Hiya,

Switch off the 4.74 SVR rate though. You could switch onto e.g. the lifetime tracker at Bank of England base rate + 1.99% meaning that you will be paying 2.49% initially rather than 4.74%

There is no initial product setup fee for this either...[/QUOTE

Is this for real? Can't see that anywhere on santander,if so that would be brilliant for us.

cb4fwh

Definitely for real.

Go to www.santander.co.uk, click on mortgages & use the mortgage calculator to display products available.

You may have to pretend to be a new customer rather than existing customer to see all of their rates, but it will display the lifetime tracker.

The best thing that I can suggest is to ring them up. It will probably take an hour, but you can certainly save some money!

Its probably the only one that will suit you given the fact that your mortgage doesn't have too much longer to run. Once you take into account product fees for other fixed rate / tracker mortgages you would be best staying on SVR.

However, the lifetime tracker is product fee free, so is a no brainer for you...

jellyspots

cb4fwh wrote: »

Hiya,

Switch off the 4.74 SVR rate though. You could switch onto e.g. the lifetime tracker at Bank of England base rate + 1.99% meaning that you will be paying 2.49% initially rather than 4.74%

There is no initial product setup fee for this either...

Called them today and it has a £499.00 fee! I Knew it would be too true to get that, sneaky banks I say!! Also min loan amount needs to be £25k as just looked on their website and in fact it is free if TV is 60% which ours is but we will have less than the stated £25k. Grrrr

cb4fwh

Rubbish! I had forgotten that alot of mortgages are only available if you borrow over a certain amount e.g. £25k

I'm a long way away from that at the moment, hence having not really considered it!

It sounds as though SVR is your only option from a Santander mortgage standpoint. My only advice is overpay as mych as you can when you can - there will be no overpayment limits on SVR...