Dieseldog

Just a quick q for the financial advisors amongt us...

Just spent an hour applying for fixed rate bonds. One (the Coventry) allows you, once you've completed the online form, to print off the application, which identifies the rate (6.25%), and talking to them on the phone, they will honour this rate even though (a) the account won't have any money in it for a week or so and (b) the product will probably be withdrawn tonight. The others (between 6 and 7%) just say they'll stick the form in the post (once you've filled in the details online).

Question is, will they honour their advertised rates, or do they not regard it as 'applied for' until they print it off (maybe tomorrow) or receive it back from me, signed?

Ta' in advance

ChrisB

I'm doing my bit at the moment, so come on every one

Matteeboy

Just bought 1200 litres of heating oil and paid a grand for a gravestone today. So I guess I'm doing my bit too.

EddScott

If they've said they will honour it then they will honour it. They won't just bung your money in at the new rate then tell you (unless they are truly inept which some investment providers clearly are). I would ask the name of the person you spoke and confirm the details and the rate. If they say yes then don't worry.

PS - anglo irish has a fixed rate 12 month bond for 7.05% gross.

TelBoy

Can anyone buy that? Do you have to be an existing member?


All my building societies have withdrawn their fixed rate bonds funnily enough.

Fantom

Well I dont bother voting and I certainly wouldn't vote labour so thats crap.

And I don't have a tracker mortgage. I was on a SVR of 7.24% which was just reduced 0.3%. Hopefully it will be coming down at least another 1% due to todays cut.

Dieseldog

Thanks Ed, it was Coventry who said 'yes', exactly as it shows on the paperwork I printed, so I'm happy with that.

The question was really about the others - Anglo Irish included - who don't let you print off the paperwork there and then, but send it later in the post. Ah well, I'll soon find out...

fast bloke

Your advisor must be better than mine

Matteeboy

SO SO much thinking on here that has brought the country down.

"Monthly payments have dipped - WHAT CAN I SPEND IT ON?"

Ermmm - how about saving it?!

Alas

Another in the p*ssed off camp. Save and get screwed. Up to your ar$e in loans and lets make it easier for you.

MikeCardiff

iTrader: (2)

I can see that a lot of the mortgage lenders will just withdraw any BOE base rate trackers now, in much the same way as they withdrew the long term fixes when the interest rates started going up.

Add to this that a lot of them wont pass on the full discount to most customers, and the discount they do pass on will probably take most people back to what they were paying a year ago before the rate rises.

Good news for a minority of people on trackers who may see their payments drop a bit, but I dont think its suddenly going to kickstart the housing market and we'll be seeing loads of 3.5% 5 year fixed rate mortgages on offer.

Personally I think the BOE may keep the rate at 3% until the new year ( encourage people to spend a bit over Xmas ) then creep it back up 0.25% at a time to around the levels it has been for the past year.

fast bloke

Because when the rates come down a bit more next month your 'savings' will be doing fek all.






(only kidding - It would probably make sense for most people to overpay their mortgage by the amount they are saving - Rates may well hit 1% in the near future, but the will hit 6% again in the longer term, probably at a time when income tax will have to be increased and you will be used to paying 20 quid a month for your mortgage, so any overpayments now should allow your mortgage payments to be more stable over a longer term )

unclebuck

Exactly. Lambs to the NuLab slaughter

mart360

How do you quantify that?

I cant recall ever receiving a letter from barclaycard telling me due to interest

rate cuts, they were dropping the interest rate from 14% to 5 or 6%

likewise my large loan hasnt seen any reduction in interest since the day we

took it out,

Mart

TelBoy

Friendly tenner says that 3% is not the lowest we'll see.

unclebuck

B*ll*cks isn't it.

The majority seem to think it's great however. No wonder Broon and Nu Labor have such contempt for people. It's childs play for them to manipulate the way the population think.

fast bloke

UB - I may be a bit stupid here, but can you tell me how exactly Blair, Brown and new labour managed to cause a global recession?

EddScott

Ermm no, how about another big loan for another scoob.


Try not to spill any of blood on these shoes, I haven't finished paying for them.

MikeCardiff

iTrader: (2)

Still think its going to be quite a while ( and lots more drops if the BOE are stupid enough ) before its worth changing the mortgage for most people.

After the like of NR getting burned, I just dont see the lenders being too keen to lend out high LTV mortgages on low rates again.

Looking at it long term I think most people who got decent long term fixes on 5-6% are still going to end up better off.

The Rig

iTrader: (13)

im on fixed until 2012 and 2014

6.7 until 2012 - 5 yr fixed

5.7 until 2014 - 10 yr fixed

just the savings part annoys me,isa etc will return sweet FA this yr,pah !

Kieran_Burns

iTrader: (1)

The Halifax has a note that they are reviewing their interest rates.. I wait with baited breath.

njkmrs

Was hoping for a nice 1% cut,and when I saw it on news at lunch time, ....more than happy .!!!
Every ****** has been having a slice this last year ,so its nice to get a bit of relief and a decent chunk off the rather large mortgage .
Hsbc tracker at .24% above base rate .BTL,s should come down a nice bit also .
Wont be going mad though,just going to enjoy the reduced payments for a few months .!!!!!!!!!!!!!!!!!
Nice .!!!!!!!!!!!

Robertio

iTrader: (1)

Bad news for me too Total saving for the remainder of my mortgage is <£100 (only a few months left) and that is more than offset by the damage it has done to the CAD exchange rate and it's effect on my snowboarding holiday.

al4x1

yep well the minority is 40% of mortgages are trackers and the dropping a bit is about a third for most people personally I'll find something to do with the £500 a month less I'll have to pay next month compared to last month. As said I reckon we'll see lower rates yet in an effort to kick start spending but as its on a global scale who knows what will happen

tarmac terror

iTrader: (2)

I should have given you a shout mate - I've just screwed myself twice over.

£180K of savings piled into a house and £100K mortgage fixed for 25 years!!!

Still got me two garages for the porsche and scooby!!!

fast bloke

Does it have a 25 year redemption?

Long term it will balance out. I was getting people 5 year fixed rates at 3.75 in August 2003. They came out of the deal with several thousand pounds in their pockets in August 2008 and a payment shock which virtually doubled their interest payments. A few of these have now opted for another 5 year fix around 6.5%. By the end of 10 years they will have paid the same as someone on a tracker. If you are really clever you can call interest rates, but you also need to be really lucky that your last deal runs out at exactly the right time.




but yeah - you should have given me a shout

Lee247

You are 500 squids better off, a month. Christ. forgive my ignorance but how big must your mortgage be to save that kind of dosh

dpb

Hes prolly another one whoose put a tenner down as a deposit