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Combined Current/Mortgage a/c to Fixed rate

I made the mistake of thinking I would be good with money and took out a Virgin One account many years ago.

To date I have enjoyed the spending flexibility, but have paid little off the £140k mortgage.

I am thinking about moving to a fixed rate mortgage and wanted some ideas.

I earn £57k approx
House value around £225k
Mortgage £140k
20 year term
Good credit history
Outgoings around £800 a month (loans etc)

Thanks,

Paul

Comments

  • herbiesjp
    herbiesjp Posts: 8,499 Forumite
    Based on those figures you should have the whole market open to you.

    How long did you want to fix for?
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • I was looking for a 3 or 5 year term. I have not moved from Virgin One in 7 years, and know I can do much better.
  • herbiesjp
    herbiesjp Posts: 8,499 Forumite
    You can do a whole lot better - it sounds like you've been paying higher interest rates for the benefit of flexibility, but not the benefit of reducing your mortgage - that's why these types of mortgage can be "dangerous" in the wrong hands.

    You can also find plenty deals that offer free legal fees and valuations, and some offer no arrangement fees - if they indeed turn out to be the most cost efefctive options for you

    What rate are you paying them at the moment?
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • At the moment 7.15%
  • herbiesjp
    herbiesjp Posts: 8,499 Forumite
    You couldbe looking at rates between 5.5% and 6% for deals with varying benefits i.e. free legals etc.

    So you would be saving on the current deal you have
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • Many thanks for your quick look. I thought I would be better off removing my mortgage from my current account, but always worth asking the experts.

    Many thanks,

    Paul
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