2 or 3 year tracker deal?

payless

No you aren't expected to know the deals , but I would have thought brokers keeping themselves abreast were aware of this product

http://www.mortgagestrategy.co.uk/cgi-bin/item.cgi?id=165379&d=pnd&h=pndh&f=pndf

Remember this is a consumer site , not a broker site , so if mentioning actual products rates ( somethinmg I disagree with anyhow) I can't see the benefit (for the consumer) in posting an inferior deal ( higher rates / ERCs ) from the same lender

ThomasJames_2

payless wrote: »

No you aren't expected to know, but ;-http://www.mortgagestrategy.co.uk/cgi-bin/item.cgi?id=165379&d=pnd&h=pndh&f=pndf

Remember this is a consumer site , not a broker site , so if mentioning actual products rates ( somethinmg I disagree with anyhow) I can't see the benefit (for the consumer) in posting an inferior deal ( higher rates / ERCs ) from the same lender

I am aware this is a consumer site, I was simply highlighting the fact that the Woolwich are competitive. I would assume anyone coming on here would take this information and go directly anyway.

payless

Worth reading http://forums.moneysavingexpert.com/showthread.html?t=325378 then

Ignatius_Reilly

All very interesting... I've had a look at the Woolwich deal (+5.74%, no fee) but it is outside my LTV bracket. To be fair to the broker I dealt with, on being told of the Nationwide deal, they stated they were not aware of this deal, but it was certainly my best option and I should proceed without delay!

As a humble consumer, I had (until today) no knowledge of FSA regulations in terms of what brokers should tell me, but was aware that better deals may be available direct, so I took the time to have a scan of whats available elsewhere. Regardless of the law, it seems perfectly fair to me that a broker only offers me advice on the best of the deals available through them. Perhaps the Key Facts template needs changing - it strikes me this term "whole of market" is the problem, as in reality no one is looking at every single deal out there.

Controversial or what!? :rotfl:

virgo149

Ignatius_Reilly wrote: »

I am coming to the end of a 2 year tracker with Nationwide at 4.87%. Having read the remortgage guide and spoken to L&C, I have been reccommended a two year tracker from the Abbey at 5.97%. After fees, this works out better than the best 2 year deal from Nationwide at the moment (6.25%), but as I am an existing customer, they are also offering a 3 year tracker at 5.74%. This will be better than the Abbey deal but I'm obviously tied in for longer.

I would be interested in knowing what people think about the 2 or 3 year options - I will certainly check the market again when I come to the end of the deal I choose. L&C suggested that in two years time there may be much better choice of products available, but are they really likely to be different enough to outweigh the difference between my options now?

And should I be asking L&C to also check for other 3 year deals for comparison?

Any opinions welcome

Good advice from everyone so far. Like the rest of us it comes down to what you will be comfortable with. We've just arranged a new term with the Nationwide as our 0.27+ above BoE tracker is almost at an end. Now, even more than ever, we've taken a much longer term view of our finances and went through a series of questions. It lead us to take a 5 year fixed at 6.20% (fee free) with Nationwide with a view to overpaying by at least 200 a month.

How big is your mortgage? 6.2% on ours at 71K & 16 yrs isn't too bad at all (581 p/m).

How important is flexibility for you with your product at the moment in terms of tie-in's etc? What plan's do you have to change your mortgage product/size in the next few years?

How will you manage your tracker if rates rise again?

Have you worked out how much, in reality it will cost to move to a product with a fee, either with Nationwide or another company?

Just a few things to think over - don't want to confuse you but I really believe you should be thinking longer term at the moment - rates seem to being going only one way at the moment. Even if the BoE base rate stays low, as long as it costs the banks more to buy their cash on the money markets, rates being offered are not going to come down.

payless

I've been saying WoM definition needs looking at since 2003.. and more so recently.

There are some brokers that will look at all products

Ignatius_Reilly

No need to worry about confusing me, I'm quite clear about what I am looking for, the best deal over a relatively short term, after which I will review and move on as necessary. The advice given here has been helpful, so thanks again to all.

I've made my choice now, so feel free to throw in your tuppence worth, but as fas as Ignatius J. Reilly is concrened, it's over and out from me.

Now if you will excuse me, I must be on my way to save money elsewhere...