Mortgage rate 'war'

Discussion in 'The Fair Mortgage Rates Campaign' started by dave2015, Dec 12, 2017.

  1. Sarenco

    Sarenco Frequent Poster

    I think that's a fair statement, particularly when you take the cashbacks into account.

    For example, PTSB's High Value 3-Year Fix <60% LTV has a notional rate of 2.95% but an effective rate over three years of only 2.17% when you allow for the cashbacks (2% at drawdown, plus 2% of each monthly mortgage payment).
  2. RedOnion

    RedOnion Frequent Poster

    Ah, my bad - I looked at the rates in headline table rather than their high value rates.

    I've looked at it properly now, and withdraw my comment.

    Factoring in the 2% refund of repayments makes them attractive for some scenarios, particularly the 3 year term.

    It makes no sense that their 5 year notional rates are lower than shorter terms, but results in decent rates, although the 3% cashback from BoI is still a lower effective rate.

    The best buy tables are getting more complex to maintain!
    Sarenco likes this.
  3. Sarenco

    Sarenco Frequent Poster

    Absolutely, there are a lot of variables at play.
  4. Gordon Gekko

    Gordon Gekko Frequent Poster

    One would almost think that the banks are seeking to profit from the confusion that they create.
    Dauhee likes this.