Switching to LTV / Lender / Paying Lump Sum - advice please

[Cutiepie]

- I am currently on a 3.15% variable rate with AIB.
- 13 years left on the mortgage. -
- €141k owed.
- I don't have a current valuation but the loan to value is less than 50%.
- Have €55k in savings that I had planned to use 1/2 for renovations and 1/2 as a lump sum. However the renovations are not high priority.

Could I please get some advice on the best options here - switch to a LTV rate, switch lender, pay off lump sum, all of the above??? Mortgage matters would not be my forte so would really appreciate some advice.
Thank You

 

[_OkGo_]

I think all of these rates are still accurate. You should certainly consider fixing with AIB or switching to Avant/KBC

Best Buy - Best Buy Tables after Avant's entry

If you make a lump sum now and reduce your mortgage to €120k, then AIB/Avant/KBC are all very similar value to you

• Staying with AIB means no switching costs which roughly balance the higher rates versus Avant
• Switching to KBC will give you €3k cashback so easily cover switching costs with some leftover, again balances out more or less with the higher rate versus Avant
• Switch to Avant for the best rate, you cover the cost of switching but it is the best rate

There are pro's cons to each

• Staying with AIB is easy and their 3&5 year fixed rates have an unusual quirk whereby you are unlikely to see a penalty for overpayments due to how they calculate break fees so a good option if you expect to have the ability to overpay. See here
• KBC allow 10% overpayment over the term and offer cashback but to get their best rates you need to have a current account with them. Not a lot of hassle but you need to do it and have a salary paid to that account
• Avant are the best rate but you may or may not be eligible depending on where your property is in the country. They are focusing on cities to begin with.