Nationwide 3yr tracker 0.74% above base rate

nh101

My Nationwide tracker (011% above BR) comes to an end Aug 1 and I can secure a new deal from tomorrow. I am interested in their 0.74% above BR 3-yr tracker, but wonder whether I should secure this now or wait to see if something better comes along before August?

London & Country recommended a 3-yr fix at 5.85% with C&G but I think the BR is going to stay low or even reduce further esp in the short term so would prefer a tracker (And we could afford to pay our mortgage even if rates went up significantly so I am willing to take the chance).

So should I secure this rate now or hang on?

payless

Who are we to question L&C ....

pssh...... (believe C&G 3 yr fix at 5.54% if you go direct) but I'm not saying thats suitable

kingrollo

try the egg lifetime tracker ........0.74% (5.79 overall) above the base rate - no fees - free valuation...only your legals costs to pay .

payless

Of course no-one here will know whats best, but if you are expressing preference to tracker, and can afford if rates rise why no explore the other tracker options

jediknightwarrior

Gosh terrible! More proof that L&C are lying about the service provided. Were you made aware of the direct deal? If not, you should raise formal complaint with L&C as this goes against the claims made on this site and in L&Cs marketing material.

payless

On looking at the claims on their website (No 3 http://www.lcplc.co.uk/three_col_1.aspx?id=0:35094&id=1:31891&id=10:21990&doc=10:25204 )

I can only assume that ( either the deal or the service ) was fully discussed with the OP and that she happy to take a recommendation on that basis , to benefit from their services

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Of course that does not assist the OP really ...

Methinks both clients and advisers need to rethink if "fees free advice" is the most suitable in the current climate
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Woodgnome_2

The Hsbc tracker is .48 above the base. Fee is similar so better than the Nationwide deal.

nh101

Yes I was disappointed with L&C's advice. I told him I was on a tracker and that I'd like another tracker cos I think the BR will go down, but he said that trackers were so much more than fixed rates at the mo that fixed rate might be better. So when he recommended 5.85% fixed I couldn't believe it cos it was hardly different to the NW tracker (which at the time was a 2yr tracker starting at 5.99% - this has now changed to a 3yr starting at 5.74%.) Also I think tying in for 3yrs fixed is too much in the current climate cos deals are so bad versus the BR.

He argued that the fixed was better cos the BR would have to drop TWICE for me to benefit from the 5.99% tracker versus the 5.85% fixed (er, no, only once actually!). And he said it was better for me to know what I was paying each month (that is my choice actually and I choose to take the risk).

The arrangement fee was higher too for the fixed (£1098 v £599) but he said cos it was 3yrs v 2yrs it was comparable.

So not impressed at all - will look into Egg and HSBC. What are the early redemption charges for the Egg deal?

nh101

What is the best way to research the tracker deals available - I have tried to use moneysupermarket but it doesn't seem to have the arrangement fees on there

HelpWhereIcan

have a look at http://www.moneyfacts.co.uk/searches/mortgage.aspx - best of the lot, includes all deals on the market and has the ability to calculate the total cost over whatever period you like (ask me more button at the bottom).

Have reccomended the HSBC Tracker to 2 people this week and is 'best' of it's type offer at the mo IMO.

Remains to be seen what their processing is like with all the applications that deal and the rate matcher will generate them.

hotcookie101

I have just applied for the HSBC tracker at 0.48% above BR. £599 fees, was in and out of there with application approved in less than an hour. Advisor said will definitely be in place by june 1st (old fixed rate expires 31/05/08 so will be taken over after ERC) No legal or valuation fees, and its a lifetime tracker, so seemed best deal for me. L&C tried to get me to go for a C&G fixed as well with fees of 1100, and a rate of 5.89%, when I could get much better fixed rates with lower fees elsewhere