5-10yr fixed deals, good idea given current interest/BOE rate?

lydriver

I'm also unsure what happens when the fixed rate ends if you stay with the same lender
surely it's going to be in the lenders interests to get you on to their SVR as that way they will make the most money?

what determines what offer/product they will offer you once the fixed term ends?

kaylajane

Most lenders want to keep you, so would offer a new deal, you'd be crazy to stay on SVR.

lydriver

so its just one of those things that if you dont ask you dont get?

by default you'd be put on to SVR? but unless you phone up to cancel/switch then you'd remain on the SVR?

kaylajane

Exactly. Our lender (nationwide) has the option to switch online as well. So it may be worth looking to see if your lender does that.

LeoTLion

I think they are more concerned about keeping you as a customer than forcing you to stay on the SVR.

3 months before our fix was due to end there were a number of other rates listed on our online banking, we could select the one we wanted. If we hadn't selected one we'd have gone onto the revert rate stated when we took the mortgage out.

lydriver

ahh..

were the different rates offered because of different fixed rate lengths/setup fees
just like it is when taking out a new mortgage?

LeoTLion

Yes, all of their new customer products were there plus some of their existing customer retention deals, subject to LTV.

u0362565

Thanks for all the comments I think in that case I will maybe fix for a couple of years in the hope I can at least fix again at a similar rate.

Rich2808

I frankly don't foresee a rate rise before May 2020 - more likely a rare cut as I think the world economy is on the verge of another downturn (all the fault of Brexit of course!).

Osborne and Carney will do nothing to derail the Ponzi scheme before the next election.

Fixing of course gives you certainty of payment - so it's a choice you make.

fewcloudy

kaylajane wrote: »

It's nice having the security im these uncertain times

Uncertain times? In my lifetime, these times have been the most 'certain' I've ever seen.


Seems very unlikely they will rise in next few years, but if they do then everything points to it being done very slowly.


fc