Breaking out of a 5 fixed rate term and refixing for another 5 years. AIB Green 2.15%

H

help999

Registered User
Messages
54
Hi, i am wondering, given the recent mortgage rates hikes and inflation etc.
If one is in a fixed rate with AIB 5 year fixed at 2.15%.
Say you are 1 or 2 or 3 years into that rate, can you break out of it and refix again for another 5 years. To take advantage of the low rate on offer for another 5 years.
Thanks
 
Sure you can. Best to give them a ring, there might be a break fee but I think that depends on how close you’re are to the end of your fixed period.
Are you breaking and reducing on the same rate?
 
AIBs green rate may not be the
MsCutha said:
Sure you can. Best to give them a ring, there might be a break fee but I think that depends on how close you’re are to the end of your fixed period.
Are you breaking and reducing on the same rate?
Click to expand...
AIBs green rate of 2.15% may mot be available in 5 years time so better to take advantage now. Im early in year 1 of the 5 year fixed. So it would be great if you could fixed again at same rate while its in offer. Keeping rate and term same.
 
@help999 I'm not sure if I'm reading this correctly - you are currently on AIBs green rate of 2.15% and you want to break out of that rate, but then start at that rate again - so in essence make it a 6 year term rather than 5 year ?

I don't think AIB will do that though.

I was on a higher fixed rate with AIB early last year and when the new lower fixed rate came in, I was able to move to the lower rate, and in essence, start things again. Unless there is a change in the rate, I don't think you can change their term length.

Have you looked at longer terms with AIB - not sure if they offer competitve 7 / 10 year terms ?
 
Jazz01 said:
@help999 I'm not sure if I'm reading this correctly - you are currently on AIBs green rate of 2.15% and you want to break out of that rate, but then start at that rate again - so in essence make it a 6 year term rather than 5 year ?

I don't think AIB will do that though.

I was on a higher fixed rate with AIB early last year and when the new lower fixed rate came in, I was able to move to the lower rate, and in essence, start things again. Unless there is a change in the rate, I don't think you can change their term length.

Have you looked at longer terms with AIB - not sure if they offer competitve 7 / 10 year terms ?
Click to expand...
AIB will let you do what @help999 is enquiring about. In essence, @help999 would be resetting the clock on the 5-year fixed-rate period. Others on this site have done the same.
 
Jazz01 said:
@help999 I'm not sure if I'm reading this correctly - you are currently on AIBs green rate of 2.15% and you want to break out of that rate, but then start at that rate again - so in essence make it a 6 year term rather than 5 year ?

I don't think AIB will do that though.

I was on a higher fixed rate with AIB early last year and when the new lower fixed rate came in, I was able to move to the lower rate, and in essence, start things again. Unless there is a change in the rate, I don't think you can change their term length.

Have you looked at longer terms with AIB - not sure if they offer competitve 7 / 10 year terms ?
Click to expand...
I did exactly that with AIBs three year rate and will do it again. It also makes perfectly sense.
 
We did this as well. We were 1 year into our 5 year fixed rate of 2.35% and broke and refixed for another 5years so in total will have 6 years at 2.35%. There was no fees but due to the bank being so busy there was some delays but we received some compensation for that so we were happy. All sorted now for another 5 years
 
help999 said:
Say you are 1 or 2 or 3 years into that rate, can you break out of it and refix again for another 5 years. To take advantage of the low rate on offer for another 5 years.
Click to expand...
This is exactly what we did recently. Very easy to do and you are unlikely to have any break fee. We effectively stretched it out to a 6 year fixed rate.

Overpayment flexibility of AIB's 5yr Fixed Rate

We are in the process of switching and are looking at 3,4,5 year fixed rates. KBC, Avant, AIB and UB all have rates between 1.95-2.35% and when broker fees (a number of Avant brokers seem to charge a fee) and cashback (UB €1.5k, KBC €3k, AIB 2k) are accounted for, they are all very similar...
www.askaboutmoney.com
 
Any one know if this is still possible. Im 6/7 months into 5 year green 2.15%, If i break and refix now for 5 years again will it be the higher green rate or will they still honour the 2.15% rate.
 
help999 said:
Any one know if this is still possible. Im 6/7 months into 5 year green 2.15%, If i break and refix now for 5 years again will it be the higher green rate or will they still honour the 2.15% rate.
Click to expand...

It will be the higher rate (2.65%). See AIB's info page about the rate change:
I am a mortgage customer and have submitted a request to fix my mortgage interest rate. Does this change affect me?

We will charge the previous rate (before the increase) to customers who have asked us to fix their rate using the mortgage amendment form from our website by close of business on 14 October 2022.
Click to expand...
 
You must log in or register to reply here.
Back
Top