Hi
I have a question that I have put to my bank and before I accept the answer from the bank rep I want to check if its correct...
I will use numbers (not real) to explain scenario... assume house costs 200k
Last year we bought our home for 200k. when I took mortgage it was for 20 years & it was for 180k (90%). as the fixed rates offered by my lender were better than variable I did the following
1. fixed for 2 years 150k
2. variable 30k.
during the year we have made our payments and now I would like to make a lump sum payment (against the variable) for 20k.
when I make this payment my LTV will be less than 80%. the bank are saying they will give me the better rate on the LTV less than 80% rate on the variable only. they will only offer the lower LTV rate on the fixed element when the fixed rate expires in one years time
can the bank continued to treat the fixed part of loan at higher LTV loan rates when under 80%. My reason for question is the same bank has changed its fixed rates to all customers so fixed is not really fixed.
appreciate any thoughts & if there is an independent body that I should speak with
I have a question that I have put to my bank and before I accept the answer from the bank rep I want to check if its correct...
I will use numbers (not real) to explain scenario... assume house costs 200k
Last year we bought our home for 200k. when I took mortgage it was for 20 years & it was for 180k (90%). as the fixed rates offered by my lender were better than variable I did the following
1. fixed for 2 years 150k
2. variable 30k.
during the year we have made our payments and now I would like to make a lump sum payment (against the variable) for 20k.
when I make this payment my LTV will be less than 80%. the bank are saying they will give me the better rate on the LTV less than 80% rate on the variable only. they will only offer the lower LTV rate on the fixed element when the fixed rate expires in one years time
can the bank continued to treat the fixed part of loan at higher LTV loan rates when under 80%. My reason for question is the same bank has changed its fixed rates to all customers so fixed is not really fixed.
appreciate any thoughts & if there is an independent body that I should speak with