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[Deleted User]

text obsolete please remove

K_S

@[Deleted User] With Barclays product-transfer/product-switch/rate-switch for existing customers, the earliest you can select a rate is 5 months (150 days to be precise) before the fix end date.

It should be fairly straightforward to do it online as a non-advised product-switch if you're not borrowing more or changing the term.

[Deleted User] said:

Hi.

My 5-year fixed mortgage rate (1.79%) ends on 30 April 2023, current balance about £177K, LTV well below 60%. I'm with Barclays and it probably makes sense to stay with them, as in about 3-4 years from now I plan to sell and move somewhere cheaper - mortgage free, hopefully.

Barclays have a 3-yr fixed rate which seems like a good option, it's currently at 3.46%.

Question: when it's best to initiate the rate switch procedures so that I pay the existing rate of 1.79% until to 30 April 2023, and the higher interest rate after that? And is it still possible to switch online - if I don't change the term and I don't ask for more money? 

Thanks. 

K_S

[Deleted User] said:

Thanks, that's interesting, I thought it was 90 days. So earliest I could lock in a rate is 1 Dec 2022. 

Now, when is the next time BOE will increase rate, is it March 2023 or maybe earlier? Is that known or predicted? 

Sorry if my questions are a bit silly, it's been a while since I've looked into this. 

@[Deleted User] It used to be 90 days, they upped it to 150 days earlier this month as they were losing existing borrowers who wanted to secure a rate as early as possible (6 months usually) and went to other lenders.

Going by recent history, I'd expect at least a couple of mortgage rate hikes by all mainstream lenders between now and early December.

K_S

[Deleted User] said:

That's rubbish, a couple of rate hikes... but I guess I'm not surprised. One more question. 

With the rate switch online, will I be able to select the start date for the new mortgage as 1 May 2023 so that I keep paying the existing rate of 1.79% until end of the current fix?

I checked to see if I can switch online now (just curiosity, as the ERC would be too high), but there is no rate switch option in the Barclays "Mortgage Management" tab. 

Thanks a lot. 

@[Deleted User] Yes, that should be possible. This is what they say for broker PTs "When you book a new rate in advance, we’ll apply the new rate to take effect as soon as your client's existing rate ends."

london21

[Deleted User] said:

Thanks, that's interesting, I thought it was 90 days. So earliest I could lock in a rate is 1 Dec 2022. 

Now, when is the next time BOE will increase rate, is it March 2023 or maybe earlier? Is that known or predicted? 

Sorry if my questions are a bit silly, it's been a while since I've looked into this. 

Lenders are increasing rates before BOE make announcements.

Next announcements this year are scheduled for 3rd November and 15th December. 

mose_2

Sorry to highjack but I’m with Santander and can’t do anything until 4 months before is this set in stone or worth ringing them? Can’t hang about for another 2 months really. 

simon_or

Hopefully rates will stabilise or go down by then because of the reducing swap rates.