Santander 1.55% 5 Year FIx £1249 fee

getmore4less

There is a lot of misleading info about fees with things like pay the fee up front it saves money

Of course it does it is just borrowing less or the same as any overpayment would save you money

if you can add fees and that is beneficial in that you don't have to pay if you don't complete then you just overpay after they have been added.

when comparing it makes a small difference to the results.
in your case(£150k 30y 5y fix) the comparisons are
if we say the rates were    1.55%  £1249 fee  1.75% no fee.
add fee 

amount	rate	payment	owing
£151,249.00	1.55%	£535.87	£130,020.61
£150,000.00	1.75%	£535.87	£130,130.97

save £110 adding the fee
or pay fee 

amount	rate	payment	owing
£150,000.00	1.55%	£531.40	£128,949.21
£148,751.00	1.75%	£531.40	£129,047.41

save £98 paying the fee
That's mostly because you borrowed less (£1249*.02*5= £12.49)

[Deleted User]

MFWannabe said:

Maybe you’d be better off getting a broker to find you the best deal? Sometimes brokers have rates available to them which aren’t available to us? 

very true. but also some lenders like to play silly games and offer different rates to different people who apply in different ways.  Santander are one of these at the moment.   This rate is an online exclusive, and isnt even available direct in their branches.  As K_S mentions, its probably as they calculated the cost savings on not having to give advice or deal with any complaints