How long does it take to Re-fix with UB

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Lisalefteye

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I currently have a fixed mortgage with UB (with no breakage fee). I've applied for a mortgage with Haven and submitted everything in mid May. I'm told the paperwork is with the underwriters and I don't have a loan offer yet. I'm concerned about the proposed interest rise next month and I'm wondering should I just abandon the haven application and look to re fix with UB? How quickly can UB refix does anyone know? Thanks.


Moderator's note: If you contact Ulster Bank looking to break and re-fix, you will receive two separate letters from them a few days apart, and their structure and wording can lead to confusion. Look for the line that says something like: "Based on today's information this would result in an early redemption charge of €X to no longer be bound by this fixed rate." That amount is your break fee. Ignore all other references to break fees/breakage costs.
 
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It should be very quick. First thing is to ring them (0818 210 275) and say you are looking to break and refix. They will then send the current break fee to you by post - it has to be recalculated, even if you strongly believe it will be zero; while you wait for that you can ring again and, as the fee will have been freshly generated, they will then be able to tell you what it is, and then when the documents they originally sent arrive you tick a box on the list of options and return it, signed. Then ring again to advise them you accept the break fee (even if zero!) and pay it if needed.

We are currently doing exactly this, but ours is complicated as we are also getting a top-up loan. In our case, we need to draw down that loan and then they will backdate the fix on our main loan to when they received the signed docs from us. If we hadn't been doing the top-up, I believe it would all have been done-and-dusted within a fortnight. It certainly was when I did a similar thing (moving to a better rate, no break fee) a couple of years ago.
 
@blackrock for existing mortgage accounts I believe you can. I’m in a similar situation to @Lisalefteye but I’ve paid the break fee and currently on variable rate with UB while waiting on Haven. On the online account I can select a new mortgage product, tempted to do that as Haven is taken a long time.
 
I'm currently looking to re fix with UB. Told them on the phone earlier in June that I wanted to refix and said they would send out the current rates and said if I wanted to move to another rate with them that I needed to tick the box on the form as to which rate I wanted to go with. Would need to pay a break fee but the one they sent which is valid until Friday is a break free on zero.
 
MsCutha said:
@blackrock for existing mortgage accounts I believe you can. I’m in a similar situation to @Lisalefteye but I’ve paid the break fee and currently on variable rate with UB while waiting on Haven. On the online account I can select a new mortgage product, tempted to do that as Haven is taken a long time.
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ok thanks ill look into that then,

anyone know if there is an option to adjust the term as part of something like this?
 
I have just refixed with UB.

I had to pay pay the break fee and also sign the letter with desired rate I wanted to choose.

I am now waiting on confirmation letter which I hope to have by the middle of next week.

I ended up fixing for 10 years at 2.8%
 
I refixed 2 months ago and it was very quick indeed - two ticks and signatures on the forms. I didn't think they were still doing it, interesting to know it's still an option. I moved 75% of the mortgage to 2.2% 5 year fix at the time.
 
Thank you everyone. I phoned ub today to get the ball rolling on re fixing. They must have a big influx of calls as they are asking you to email [email protected] with your details and they'll contact you within 48 hours. Hopefully I can get either through before the rate increase
 
Lisalefteye said:
Thank you everyone. I phoned ub today to get the ball rolling on re fixing. They must have a big influx of calls as they are asking you to email [email protected] with your details and they'll contact you within 48 hours. Hopefully I can get either through before the rate increase
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I was able to apply for a new fix rate using the manage my mortgage website accessible from the app. It was a few months ago so maybe that option is not available any more.
 
IrishHusk said:
I was able to apply for a new fix rate using the manage my mortgage website accessible from the app. It was a few months ago so maybe that option is not available any more.
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No it says I'm not eligible to switch on the manage my mortgage section as I'm in a fixed rate until September. UB rang me within 20 minutes of sending an email to that address. They said they'd send out the break fee and the forms to refix. He really emphasised the break fee only being valid for 10 days and you need to get in touch within those 10 days to either pay it or let them know you are re fixing.
 
Lisalefteye said:
No it says I'm not eligible to switch on the manage my mortgage section as I'm in a fixed rate until September. UB rang me within 20 minutes of sending an email to that address. They said they'd send out the break fee and the forms to refix. He really emphasised the break fee only being valid for 10 days and you need to get in touch within those 10 days to either pay it or let them know you are re fixing.
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I've just emailed there to follow up with them. When you log into the Manage my mortgage, they ask you to send an email as well.
 
I recently broke out of existing fixed rate, and re-fixed.
Here is the timeline.
May 20th - rang for break fee
May 30th - second letter arrived (break fee valid until June 6th)
May 31st - posted back rate selection and paid break fee over phone
June 14th - rang UB, they had received paperwork but were so busy they couldn't update my account
June 22nd - rang UB, the rate change was finalised that morning and letter was sent out.
June 23rd - rate change active on manage my mortgage
 
I'm still going through the process but given I requested my letters later than HollowKnight thought I'd share my timeline. I requested my letters the day before the ECB suggested they would increase interest rates in June so assume they got a deluge of requests in after that:

June 8th - Rang for break fee and rates options letter
June 17th - Received Break fee (valid to the 24th)
June 24th - Received Rates options letter (valid for 10 days)
June 24th - Rang UB to pay break fee of zero, said they'll just put a note on the account as there was nothing to pay. I noted I was just refixing. Completed rate form and put it in the post.
 
@Lisalefteye I have recalculated the savings estimates for your situation but only considered Ulster Bank and Haven offers.

Your break fee should be around €220 at the moment.
  • Switching immediately to Haven's 4-year green fixed rate (2.0% with €2,000 cashback) will save you about €2,560 over the next 4 years

  • Switching immediately to Haven's 5-year fixed rate (2.55% with €5,000 cashback) will save you about €120 over the next 4 years

  • Switching immediately to Ulster Bank's 5-year fixed rate (2.2% with no cashback) will save you about €40 over the next 4 years. And it is very simple and quick to do (no bank statements, salary cert or solicitor, etc., needed).
    • Note that if you decide to do this, your mortgage will soon move onto Permanent TSB's books, and they discriminate between new and existing customers, i.e., their best rates are not available to existing customers
    • For example, if you were an existing Permanent TSB customer, the best rate you would be able to switch to today is 2.8%
    • So if you switch to this Ulster Bank offer now, you will probably not be eligible to switch to one of Permanent TSB's low rates in the future and you will end up on a higher interest rate. When that happens, you may want to switch again to another lender, which will incur costs (and it might be impossible to switch if your financial situation has deteriorated).

  • Switching immediately to Haven's 7-year fixed rate (2.65% with €5,000 cashback) will leave you worse off by about €860 over the next 4 years – but with the longer security of 7 years on a fixed rate

  • Switching immediately to Haven's 10-year fixed rate (2.85% with €5,000 cashback) will leave you worse off by about €2,860 over the next 4 years – but with the longer security of 10 years on a fixed rate

  • Switching immediately to Ulster Bank's 7- or 10-year fixed rate (2.8% with no cashback) will leave you worse off by about €5,900 over the next 4 years – but with the longer security of 7 or 10 years on a fixed rate. And it is very simple and quick to do (no bank statements, salary cert or solicitor, etc., needed, but you will probably need an updated valuation).
    • The same warnings as above regarding higher Permanent TSB rates in the future apply

These savings estimates use for comparison the scenario of switching to the 2.2% rate with Ulster Bank when the current fixed rate ends. And that's assuming that Ulster Bank (or Permanent TSB, if they have taken over your mortgage by then) are even offering a 2.2% rate in October 2022 – it could be higher (or lower). The estimates also account for any fees (break fee, solicitors' fees, valuation fee) that you have to pay and any cashback offered by the above lenders.

The estimates also assume that you get your loan-to-value ratio (LTV) below 60% in order eligible for the 7- and 10-year rates with Ulster Bank. (You are already eligible for all of the other rates listed.) A slightly higher property valuation and/or a lump sum overpayment will get you below 60%.

As you know, interest rates could rise between now and the time that you complete any switch.

Another option is to re-fix with Ulster Bank now but continue the process of switching to Haven. You will need to hope that the break fee for leaving Ulster Bank is not very high, but if it looks like that is going to be the case (or if Haven put up their rates too much), you can abandon the switch – provided you have not become liable for solicitors' fees.
 
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I emailed ub on 21/6. They phoned me the same day. Requested break fee and change/rates options form. Received rates option form 29/6. Phoned UB on 30/6 and paid break fee over the phone (didnt wait for break fee letter in the post) 30/6 posted signed rate options form back to UB. Hopefully it will go through quickly. Still no word from haven. Its been 9 weeks sent I gave all documents to the broker. Will I now cancel the application with Haven or let it run simultaneously?
 
Lisalefteye said:
Still no word from haven. Its been 9 weeks sent I gave all documents to the broker. Will I now cancel the application with Haven or let it run simultaneously?
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Check with the broker if you will be liable for a fee if you cancel the switch at some point in the future. If you aren't liable for a fee, you could consider letting the application run. But note that you will have to engage a solicitor at some point, so also clarify with them how much they would charge if you abandoned the switch.
 
Midtablemanager said:
I'm still going through the process but given I requested my letters later than HollowKnight thought I'd share my timeline. I requested my letters the day before the ECB suggested they would increase interest rates in June so assume they got a deluge of requests in after that:

June 8th - Rang for break fee and rates options letter
June 17th - Received Break fee (valid to the 24th)
June 24th - Received Rates options letter (valid for 10 days)
June 24th - Rang UB to pay break fee of zero, said they'll just put a note on the account as there was nothing to pay. I noted I was just refixing. Completed rate form and put it in the post.
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Update on mine, checked the Manage My Mortgage this morning and the refixed rate has been applied. So it was applied 2 weeks after I posted back the letter to UB.
 
Midtablemanager said:
Update on mine, checked the Manage My Mortgage this morning and the refixed rate has been applied. So it was applied 2 weeks after I posted back the letter to UB
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Went through similar back in February/March. Despite refixing the rate way ahead and via both manage my mortgage and 2 letters, they still messed it up and it took another phonecall to get it sorted.
was 4 days on a higher variable rate. after some complaints and showing them evidence that I had selected the new rate way before going on variable UB refunded the interest difference.
Interestingly, their mortgage service call centre could see my letters coming in on time but someone just seemed to have forgotten to apply the rate in time.
 
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