Worth negotiating with current provider?

rammelino

Hi there

Am on a 3 year fixed rate with Furness - 3.49%

Current deal ends 30th September this year and their renewal letter has just come through. Their best "like for like offer" is 3.05%, fixed at 3 years.

However, a cursory glance at their website shows that new customers are being offered 1.99% fixed for 2 years, or 2.64% fixed for 3.

I'm not naïve to the world of finance and the fact that new customers are offered better deals but is it worth raising this with them? Have other people had success in re-mortgaging on "new customer" deals?

Thanks

Thrugelmir

New customers deals are just that. In order to attract new business. If they offered these rates to existing customers the tranche of money available would be gone in minutes. Lenders don't negotiate they offer.

Perhaps give them a call and see what other options are available.

Dird

You've just rained on my parade a bit. I assumed the new customer rates were the same

If I were you I'd see what their new customer equivalent is and work out how much that would cost. Then do the costing of switching to an alternative & see if that's cheaper.

If it's cheaper I'd just switch. If their new customer is better but their existing customer is worse then I'd book an appointment & ask for the same deal or threaten to leave.

I called to complain about a Virgin Media price hike & now get the same as new customers

libf

Dird wrote: »

You've just rained on my parade a bit. I assumed the new customer rates were the same

Depends on the lender. Existing customers get fractionally better rates at Nationwide, and Flex account holders get access to some products that aren't on the general market.

Dird

libf wrote: »

Depends on the lender. Existing customers get fractionally better rates at Nationwide, and Flex account holders get access to some products that aren't on the general market.

I'm currently in the process for a 2 year with Yorkshire BS. The new customer 3 year is 2.19% but existing customers 2.49%. The main thing is I'm guessing they won't give the £1k cashback (right?) to existing customers so I'll almost certainly be switching.

libf

Dird wrote: »

I'm currently in the process for a 2 year with Yorkshire BC. The new customer 3 year is 2.19% but existing customers 2.49%. The main thing is I'm guessing they won't give the £1k cashback (right?) to existing customers so I'll almost certainly be switching.

I would suspect that the cashback is a first time buyers incentive, so probably not even switchers get that, although often you'll get legals included or reduced product fees for switching instead.

And of course all this is will probably be immaterial in 2/3/5 years time!

kingstreet

Dird wrote: »

I'm currently in the process for a 2 year with Yorkshire BC. The new customer 3 year is 2.19% but existing customers 2.49%. The main thing is I'm guessing they won't give the £1k cashback (right?) to existing customers so I'll almost certainly be switching.

Who/what is Yorkshire BC?

It's Yorkshire Bank or Yorkshire Building Society?

Dird

kingstreet wrote: »

Who/what is Yorkshire BC?

It's Yorkshire Bank or Yorkshire Building Society?

Good point I need to stop typing BC -_-", YBS
It now looks like I'll have to switch (unless they'll match a rate) and figures worse than expected as no more £1000 cash back on product transfer/switch
Hopefully switchers will get cash back in 2 years