Fuming on the mortgage offer

tim_n

Rang the bank to rearrange my mortgage and was offered 1.69% with £999 arrangement fee (current fixed deal runs out in July) or a 1.99% with no arrangement fee.

As I wasn't near a computer I carefully explained my position that I want to pay it all off as soon as possible and I wanted the cheapest deal for the 2yr fixed term.

The mortgage guy came back and told me the £999 with 1.69% would be best for my circumstances.

Anyway, used the calculators to find I'd be about £632 worse off taking this option assuming I pay the £999 off the loan value instead!

Perhaps in future I need to take the banks advice and do the opposite...!

Granted at the end of the term I'd save £10k, but I'm planning to re mortgage again.

tim_n

(it makes even more sense to leave the money in savings than paying the mortgage off as well)

mattyprice4004

To be fair, they didn't know you're money savvy - so I take it this is praise for them trying to save you £10k?

tim_n

mattyprice4004 wrote: »

To be fair, they didn't know you're money savvy - so I take it this is praise for them trying to save you £10k?

Not really, I did make it quite clear I'd be re mortgaging in 2 years so I wanted the cheapest option for the fixed period!

Anyway, no harm done, I've not signed and sent back the paperwork yet. But I do have to wait for the specific guy who set it up to ring me back or I've got to go through the questions all over again for 40 minutes.

Exile_geordie

If they cant offer you better - they know they are making some money out of you now you say you want to pay it off - then shop around I bet you will get a better deal and probably save more than 10K

densol_2

tim_n wrote: »

(it makes even more sense to leave the money in savings than paying the mortgage off as well)

Really ?? Kindly share the savings account that pays more than 2.5% as I'm itching to move my capital