Moving on to new fixed fee.

Flip_187

This may be a relatively simple question but I haven't been able to get a detailed explanation from my bank.

This year my first fixed fee mortgage came to the end of the 2 years and I signed up to a new deal with my bank for another 2 years fixed but on a lower rate. I made the assumption that my 24th payment would be my final payment on the old rate and the 25th payment would be on the new lower rate. However my bank has informed me that my final payment on the old rate will be my 25th payment and my new rate will start from my 26th payment.

It may be my naivety, but I assumed a 2 year deal would be 24 payments not 25. Can anyone tell me if this is standard practice and why this is worked out this way?

kingstreet

Did you buy a fixed rate fixed for two years from completion, or a fixed rate until DD/MM/YYYY.

Most are the latter. Only Nationwide Building Society offers fixed rates for a number of years fro completion as standard practice.

Check your original key facts illustration and/or mortgage offer.

Flip_187

Thanks, I'll go back and check the original paper work.