Tom J
Organiser: South Wales
Premium Member
Registered: 8th Sep 03
Location: Bridgend
User status: Offline
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I was on a 3 year fixed deal with alliance and leicester which ends in June. Was on 5.89 fixed for 3 years and it says it reverts to a variable rate when the fixed period ends. Did a quick google and santander (who took over A&L) variable rate is now 4.24%, so does this mean i will be paying less than what i was on the fixed deal? Also how can i work out what my monthly payments will be?
Total loan amount was 71,842
been paying £425.51 a month
house isn't quite finished so don't really want to remortgage yet, unless it would be better to get in now the interest rates are low, they likely to increase any time soon?
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Aaron
Member
Registered: 9th Aug 04
Location: Cottingham, East Riding
User status: Offline
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Yes, you'll be paying a bit less. Not sure how you work it out tbh, but if you give them a call, they'll be able to tell you in seconds (once you get put through to the right person of course).
I was in the same situation a year or so ago. I got myself back into a fixed rate, but only because i like to know where i am every month, and know what i'm paying out.
IMO, rates wont change for a long time yet.
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Tom J
Organiser: South Wales
Premium Member
Registered: 8th Sep 03
Location: Bridgend
User status: Offline
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as long as we won't need to pay more than £470ish we'll be fine, will be nice to pay a bit less for a bit
[Edited on 29-12-2010 by Tom J]
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Rob_Quads
Member
Registered: 29th Mar 01
Location: southampton
User status: Offline
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You won't be paying any more But you will need to check your documents to make sure
As for will it go up. I didn't think it would for some time but just recently one of the head honchos at the bank of England said they desired a more sustainable rate of 5% but did not put a timeline on it
One thing he did say was he did not think .25/.50% change any sort of further recession so I can see it rising quite soon a bit at a time to start
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dannymccann
Member
Registered: 9th Aug 06
Location: Doddington, Lincolnshire
User status: Offline
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If your payment goes down and you can afford to keep it at the same as you are now set up a SO to make up the difference so you overpay and clear the mortgage quicker, plus when it does go back up you will have less to mortgage so will get a better rate anyway, so long as there are no overpayment fees that would dwarf the benefits
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Dan
Premium Member
Registered: 22nd Apr 02
Location: Gorleston on Sea, Norfolk
User status: Offline
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If i guessed it right you took it over 30 years yea?
That would mean repayment of £353 at 4.24%
Adult GiftsClick here to vist us
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Tom J
Organiser: South Wales
Premium Member
Registered: 8th Sep 03
Location: Bridgend
User status: Offline
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yeah it's over 30 years, thanks Dan. and good idea danny. cheers everyone
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