5 Year Fixed Rate Mortgage 60% LTV: First Direct 2.39% ZERO SIGN UP FEE / PORTABLE (2.29% loyal rate if you have mortgage with FD)
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5 Year Fixed Rate Mortgage 60% LTV: First Direct 2.39% ZERO SIGN UP FEE / PORTABLE (2.29% loyal rate if you have mortgage with FD)

84
Found 8th Apr 2016
Didn't think was to bad if you want to know what your paying every month for 5 years without any worries. Zero sign up fee too

Early repayment charges, whilst present, are not to bad - 3% in the first year or 2% in any subsequent year.
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Im with FD bank but mortgage with YBS. If i took this deal i could make overpayments more than the 10% per year im allowed now but never actually pay the mortgage off fully within the 5 years so no early repayment fee. Is that right?
Why would you make overpayments? Put the money in a Santander 1-2-3 account (you can have 3 per couple, so up to £60k interest earning) and you'll earn 3% interest on it, which is more than the interest you'd save by making over payments.
Youngsyr

Why would you make overpayments? Put the money in a Santander 1-2-3 … Why would you make overpayments? Put the money in a Santander 1-2-3 account (you can have 3 per couple, so up to £60k interest earning) and you'll earn 3% interest on it, which is more than the interest you'd save by making over payments.




With the recent changes to the account you have to have £9000 in the account before making any cash.


centurion

Im with FD bank but mortgage with YBS. If i took this deal i could make … Im with FD bank but mortgage with YBS. If i took this deal i could make overpayments more than the 10% per year im allowed now but never actually pay the mortgage off fully within the 5 years so no early repayment fee. Is that right?



Check out how much you can repay and then in 5 years you just move to another product if you leave FD just check for the fee to pay at the end.
are the mortgage rates going up? I'm sure this was cheaper something like 1.99% or something
cikki100

are the mortgage rates going up? I'm sure this was cheaper something like … are the mortgage rates going up? I'm sure this was cheaper something like 1.99% or something



Might of been a tracker morgage or a lower fixed term. This is the cheapest long term fix I've seen. When I say long term I mean 5/10 years
Good for 5 years I've just signed up to a 10yr fixed at 2.9 with FD
MrJinxy

Might of been a tracker morgage or a lower fixed term. This is the … Might of been a tracker morgage or a lower fixed term. This is the cheapest long term fix I've seen. When I say long term I mean 5/10 years


Id agree i got 5 year fixed for 2.42 in sept and that was best rate at time. This seems really good
centurion

Im with FD bank but mortgage with YBS. If i took this deal i could make … Im with FD bank but mortgage with YBS. If i took this deal i could make overpayments more than the 10% per year im allowed now but never actually pay the mortgage off fully within the 5 years so no early repayment fee. Is that right?



As long as you don't pay off the whole mortgage in the 5 years then there won't be any fees. Signed up (switch from a current FD mortgage) for this deal recently on a 5 year 1 month term, will have paid off my mortgage in total that way without fee.


Edited by: "tellyt" 8th Apr 2016
centurion

Im with FD bank but mortgage with YBS. If i took this deal i could make … Im with FD bank but mortgage with YBS. If i took this deal i could make overpayments more than the 10% per year im allowed now but never actually pay the mortgage off fully within the 5 years so no early repayment fee. Is that right?



Correct

FD allow unlimited overpayments.
I just took out a new 5 year fixed 90% Mortgage with FD for a "new" house. Rate was 2.99% . Best I could find. Hope this well help someone. . The customer service is great.
enclavemarine

Good for 5 years I've just signed up to a 10yr fixed at 2.9 with FD



Same, I'm in the middle of switching to that deal but saw this and called them up to find out what my options are with this.

The 10 year fix mortgage isn't available anymore but I have secured the rate for 6 months whilst I decide if I want to go with this one.

Decisions!!
eslick

With the recent changes to the account you have to have £9000 in the … With the recent changes to the account you have to have £9000 in the account before making any cash.Check out how much you can repay and then in 5 years you just move to another product if you leave FD just check for the fee to pay at the end.



Not really - I pay council tax, 2 mobile phone contracts, landline and sky via DD in my Santander account and get more cashback from that alone, than the £5 a month fee (i.e., they pay me for using them). And then I get 3% net + any cash back surplus. Need £3k+ in the account to get 3%.
So what happens at the end of the 5 years, do you get whatever rate they have then? Surely that's a big risk if you have another 17-20 years to see out?
Or it is easy and common practice to shop around and switch?
I've already taken this deal up got 9 years left so couldn't do 10 which is a pain
My new deal starts the end of this month going to try to pay extra off
To get it gone
Mortgage free be for I'm 50 hopefully
e_munky

So what happens at the end of the 5 years, do you get whatever rate they … So what happens at the end of the 5 years, do you get whatever rate they have then? Surely that's a big risk if you have another 17-20 years to see out? Or it is easy and common practice to shop around and switch?



​Def common practice and pretty easy tbh
it's like gas and electricity providers really. you (tend to) enter a term contract for a lower tarriff rate, and then re negotiate a new deal or shop around to switch upon the term ending, for a new lower rate. same with mortgages loosely speaking. it's a fair bit more complicated as you have to take into account LTV and interest rates, overpayments and all that jazz, but that's the general jjist of it. I like the HSBC tracker personally at 1.79, as I got stung at 3.49% 4 years ago when I didn't think that the rates would at stay low. although tbf, it was my first mortgage and I was looking for solidarity and consistency, which is obv the benefit of these fixed term deals. after seeing the market these last 4 years though and being passenger to the awesome lower rates, I would still choose the HSBC tracker personally.
I'm looking for a new deal.. Have 19 yrs left.
I just completed arranging this mortgage last night - worth noting that this also includes the survey fee of £263, or you can put that towards a homebuyers or building (full structural) survey (making it 543 for a full structural).

This is the best 5 year fixed for this LTV on the market right now (unless you're borrowing more than 197,000, then it might be slightly cheaper to use FD's standard 5 year fixed at 2.19% and pay the arrangement fee - obviously always speak to an IFA!).
Looks good will have to work out if im eligible as I hace only 6 yrs left so not much outstanding but I bank with fd so its worth a call
Simes123

Not really - I pay council tax, 2 mobile phone contracts, landline and … Not really - I pay council tax, 2 mobile phone contracts, landline and sky via DD in my Santander account and get more cashback from that alone, than the £5 a month fee (i.e., they pay me for using them). And then I get 3% net + any cash back surplus. Need £3k+ in the account to get 3%.



There have been a lot of articles written since the changes, could be you aren't affected but if you haven't seen the likes of the below might be worth checking.

blog.moneysavingexpert.com/201…it/
Good deal OP, I got a 2.29% deal with Santander back in July, think I paid £600 setup fees. I get £10 cash back each month from Santander and can overpay the remaining balance by 10% each year without fees.
I would advise people to hold back on fixing for longer than a couple of years. Banks are increasingly offering lower rates for longer periods of time.. HSBC have recently been advertising a 10 year fix for 1.9% with no fee. When banks are offering long term low fixes, they know that rates aren't going up anytime soon.

I imagine in the short term you will be able to get a sub 2% mortgage fairly easily across the market.

Great deal, thanks OP. I have just spoken to an advisor about this rate.

However note the Loyalty Rate is only available to those who already have a mortgage with FD. You do not qualify if you only bank with FD.

See HERE for details

As an existing first direct mortgage customer, you will benefit from a … As an existing first direct mortgage customer, you will benefit from a discount on our Loyalty range of mortgage products





Edited by: "anthony69" 9th Apr 2016
katya1971

Looks good will have to work out if im eligible as I hace only 6 yrs left … Looks good will have to work out if im eligible as I hace only 6 yrs left so not much outstanding but I bank with fd so its worth a call



They agreed a 5 year 1 month term for me so anything over 5 years should be OK.
I'm in the process of arranging this very mortgage at a higher rate. Offer already accepred. I wonder if they will change the rate for me. Still haven't completed so could threaten pulling out I guess if they don't want to play ball. Thanks for the heads up op.
anthony69

Great deal, thanks OP. I have just spoken to an advisor about this … Great deal, thanks OP. I have just spoken to an advisor about this rate.However note the Loyalty Rate is only available to those who already have a mortgage with FD. You do not qualify if you only bank with FD.See HERE for details


There is a way round this by taking a fee free tracker for a month and then switch....although deals may change by then
I signed up for the 10 yr TSB rate then we are done ..what a feeling ..works out £5 a month dearer than a 2 bed council house rent
basergorkobal

I'm in the process of arranging this very mortgage at a higher rate. … I'm in the process of arranging this very mortgage at a higher rate. Offer already accepred. I wonder if they will change the rate for me. Still haven't completed so could threaten pulling out I guess if they don't want to play ball. Thanks for the heads up op.



If it's with first direct and you haven't started paying then just give them a call then they will switch rates for you. They have done this for me twice in the past when I locked in a rate and then it dropped.
mantisinc

I would advise people to hold back on fixing for longer than a couple of … I would advise people to hold back on fixing for longer than a couple of years. Banks are increasingly offering lower rates for longer periods of time.. HSBC have recently been advertising a 10 year fix for 1.9% with no fee. When banks are offering long term low fixes, they know that rates aren't going up anytime soon. I imagine in the short term you will be able to get a sub 2% mortgage fairly easily across the market.



Have you got details of this 10 year fixed rate at 1.9% ?? Can't find it
Is it portable knowing First Direct NO, so be aware if you may change home in the next 5 years.
74zep

Is it portable knowing First Direct NO, so be aware if you may change … Is it portable knowing First Direct NO, so be aware if you may change home in the next 5 years.


Suprising its portable, great deal, heat added.
Principality do decent rates atm
Can't compare like for like as they dont do 60% - but their 65% is 2.25%
mantisinc

I would advise people to hold back on fixing for longer than a couple of … I would advise people to hold back on fixing for longer than a couple of years. Banks are increasingly offering lower rates for longer periods of time.. HSBC have recently been advertising a 10 year fix for 1.9% with no fee. When banks are offering long term low fixes, they know that rates aren't going up anytime soon. I imagine in the short term you will be able to get a sub 2% mortgage fairly easily across the market.



no they dont
Youngsyr

Why would you make overpayments? Put the money in a Santander 1-2-3 … Why would you make overpayments? Put the money in a Santander 1-2-3 account (you can have 3 per couple, so up to £60k interest earning) and you'll earn 3% interest on it, which is more than the interest you'd save by making over payments.



paying interest on £180,000 instead of £200,000 over 25 years will save you a lot more in the long run than putting £20,000 in the 123 account + it would mean you pay your mortgage back by almost 3 years quicker. If you paid £60k then you would your mortgage off 10 years quicker, saving yourself £40k in interest.
Edited by: "bojangles" 9th Apr 2016
wow, how things change, good deal for 5 years. heat!
Youngsyr

Why would you make overpayments? Put the money in a Santander 1-2-3 … Why would you make overpayments? Put the money in a Santander 1-2-3 account (you can have 3 per couple, so up to £60k interest earning) and you'll earn 3% interest on it, which is more than the interest you'd save by making over payments.



Because interest on a decent mortgage is calculated daily, so the money you save on paying interest on your mortgage is a better return than the interest you get on the crumby saving account rates.
Does anyone know if FD stress test?. I really struggle getting a mortgage with 4 children (dependants) only Netwest would give us a Mortgage 18 months ago 2yr fix because they were not taking dependencies into consideration, we are now looking for new mortgage but worried we will not find one due to this. I can see Natwest just putting us on SVR..

House 270k, mortgage 145k..

Am I best setting up an account with FD and talking to them, but really need to know how strict they are?..anyone else in my boots?
stayathomeextro

Because interest on a decent mortgage is calculated daily, so the money … Because interest on a decent mortgage is calculated daily, so the money you save on paying interest on your mortgage is a better return than the interest you get on the crumby saving account rates.




You're going to have to explain that one to me - mortgage and savings interest rates are typically quoted in APR so that people on the street can make a direct comparison. Doesn't matter if the interest is calculated hourly, daily, weekly, monthly or yearly the APR is directly comparable.

This means 3.0% APR on savings with Santander is always higher than 2.29% APR on this FD mortgage interest.
mxer450

Does anyone know if FD stress test?. I really struggle getting a mortgage … Does anyone know if FD stress test?. I really struggle getting a mortgage with 4 children (dependants) only Netwest would give us a Mortgage 18 months ago 2yr fix because they were not taking dependencies into consideration, we are now looking for new mortgage but worried we will not find one due to this. I can see Natwest just putting us on SVR..House 270k, mortgage 145k..Am I best setting up an account with FD and talking to them, but really need to know how strict they are?..anyone else in my boots?



None of that was evident to me, given the figures you quoted I don't see why they wouldn't have you
e_munky

So what happens at the end of the 5 years, do you get whatever rate they … So what happens at the end of the 5 years, do you get whatever rate they have then? Surely that's a big risk if you have another 17-20 years to see out? Or it is easy and common practice to shop around and switch?



I take it you're a first time buyer?
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