Should i go with BOI 3 year fixed rate of 4.49%?

J

joan.okeeffe

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Hi, BOI are offering me the option of repaying at fixed rate of 4.49% or a tracker variable of 3.75%...any ideas on which option is best or if i should change???
 
Re: Should i go with BOI 3 year fixed rate of 4.49%???

whatever you decide:

BoI fixed rates are going up thursday ..almost sure of it.
Tracker rates up on thursday too.

Depends on how long the fixed period is AND
your view on interest rates.

Essentially the gap now would be three 25 bps upward moves.

Many thought June increase would be 50bps it was 25bp. Market still feels 2 x 25bps by year end.
 
Re: Should i go with BOI 3 year fixed rate of 4.49%???

Have you read the many existing threads on the whole fixed versus variable/tracker rate question?
 
I fixed last month for 5 years at 4.45% with BOI, could you drive a harder deal?
 
There are cheaper 5 yr fixed rates available........shop around. and definately cheaper 3 yr fixed rates, that is very expensive.
 
Welcome to AAM, Joan.

I locked into NIB's 3-year fixed rate @ 3.45%, last February. As others have suggested, you should shop around... check out the relevant Best Buys forum.
 
bambino said:
There are cheaper 5 yr fixed rates available........shop around. and definately cheaper 3 yr fixed rates, that is very expensive.
Click to expand...

bambino, I don't think the BoI 3-yr fixed rate is that uncompetitive:

according to Prima Finance, they are amongst the most competitive for this particular term. see [broken link removed] screen capture for €150K/20yr mortgage, 3-yr fixed

Having said that, NIB is definitely a better deal at 3.95%.
 
The prima finance take into consideration the default rate at the end of the term and not the fact you have an option to change, take the NIB offering you qouted, their APR is c. 4% but that's because their standard variable rate is 3.99%, nobody in their right mind would stay on standard variable when they could change to a tracker or other at almost.7% lower.

Check the rates yourself. The current 3 yr fixed with NIB is 4.18% over the 3 yrs that money is better in your pocket than the banks.
 
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