New Track rate - Monthly payment doesn't seem right

Ungaro87

Hello

So I was on a fixed rate with Natwest at 1.94% which comes to an end on the 31/12/23. As I couldn't get a mortgage anywhere else I was forced to stick with Natwest and to go with their track for 2 years. The current rate is 5.49%

I've used a number of calucators including Natwest's own to work out how much my monthly costs should be and it should be about £476. per month. However they're saying it's going to be £632. I've questioned this wilth Natwest using their online assistant but everytime I give them the details they gone silent on me.

Can anyone explain how they got to £632 month month?

£83,869.41

29yrs 8months

Track 5.49%

I really don't understand why it's that much higher?

snowqueen555

I can only guess that the higher figure could be based on their standard variable rate which is probably 7-8%, which is what they put you on when the fixed term ends. As you said if it was 5.49% it shouldn't be that high.

born_again

LTV coming into play & higher rate?

What does it say on the rate when you login to your account with them?

dunstonh

I've used a number of calucators including Natwest's own to work out how much my monthly costs should be and it should be about £476. per month. However they're saying it's going to be £632

Are they referring to the product transfer terms or the follow on terms?
you could be getting details of the follow on change as the new deal hasnt come into play yet.   That happened with me on our product transfer last month

Ungaro87

born_again said:

LTV coming into play & higher rate?

What does it say on the rate when you login to your account with them?

So I finally got an answer from Natwest and it's the higher rate for the end of the agreement

My new agreement is 5.49% but the new amount isn't based on this yet.

dunstonh said:

I've used a number of calucators including Natwest's own to work out how much my monthly costs should be and it should be about £476. per month. However they're saying it's going to be £632

Are they referring to the product transfer terms or the follow on terms?
you could be getting details of the follow on change as the new deal hasnt come into play yet.   That happened with me on our product transfer last month

Yes this is the answer. The agreement has ended and the figures I was given are based on the higher rates provide at the end of my agreement.

I won't pay that £632, it will be adjusted when my new agreement is actived next week.

Thank you everyone for the help. It's put my mind at ease.