I'm about to take out a mortgage with BOI and like many other people, am considering whether to choose a fixed or variable rate. For me, the 1-year 3.6% fixed rate looks attractive.
My concern is that after my one year, I might roll onto a variable rate for existing customers that is higher than the variable rate for new customers that I would be signing up to today if I went variable. BOI’s variable rates for new/existing customers are the same at present, but I believe they did have a lower rate for new customers up until recently
(After being fixed rate for one year, I would only qualify for the existing customer variable rate)
Would be interested to hear peoples thoughts on this. Do people think that banks might revert to lowering rates for new customers in the future? Thanks.
My concern is that after my one year, I might roll onto a variable rate for existing customers that is higher than the variable rate for new customers that I would be signing up to today if I went variable. BOI’s variable rates for new/existing customers are the same at present, but I believe they did have a lower rate for new customers up until recently
(After being fixed rate for one year, I would only qualify for the existing customer variable rate)
Would be interested to hear peoples thoughts on this. Do people think that banks might revert to lowering rates for new customers in the future? Thanks.