You can but you'll likely have to pay a breakage fee, ring them to find out how much that is first and you can figure out then if its worth it.I have a 4yr fix with UB since end-2018, at 2.6%, fixed until 31-3-2023.
I wonder could I do an internal switch to 2yr fix now, at 2.2%.
I must do the sums on that.
Hi RedOnion,We looked at some case studies of breaking and reducing the last time UB reduced rates. Not as significant this time, but worth looking into for anyone on a higher rate that's now eligible for the lower rates.
Lender: UB Amount of mortgage balance outstanding: €303k Date you fixed: November 2018 Period for which you fixed: 4 years Fixed rate: 2.6 Term left: 3yrs Breakage fee: €2500 (worked out using ICE report data) Approx interest cost in next 3years (whilst on 2.6%) = €23.6k Approx Balance after...www.askaboutmoney.com
I feel silly now. Had you already posted that before I asked?December 2017
Nope, I added it in subsequently for clarity!I feel silly now. Had you already posted that before I asked?
Rates have dropped since you fixed, to the extent that the UB cap of 6 months interest would kick in for you. So c.8,625 break fee.
You'd need to reduce rate below 2% to make it worth while, other than the security of locking in a low rate for longer.
No, you can. But they don't allow big lump sums without calculating a break fee. You can pay 1% of the balance per annum without a break fee.Avant Money’s 1.95% is a great rate but I have heard a number of people swerve it because you can’t make lump sum payments.
Is that once every calendar year, or over a rolling twelve month period ?If you've a lump sum to pay off, you can pay 10% per annum with UB without break fee. So pay the lump sum first, then ask for the break fee and it'll be 10% less!
I'm not entirely sure to be honest. I always understood it to be per year, but I might be wrong based in this thread:Is that once every calendar year, or over a rolling twelve month period
I was told by the bank it's calendar year.Is that once every calendar year, or over a rolling twelve month period ?
I'm sitting here wondering if UB's systems are that good, or if there is someone checking manually, each time additional payments are made, or if its easier for UB to manage, by simply resting the limit on the 1st Jan each year.
It's the balance at the beginning of the year. I just can't work out if that's 1st January, or the anniversary of the date you fixed.And it’s based on the balance on 1 January, correct?