Mortgage 1.69%+BOE =2.19% (Lifetime tracker max 70%LTV @ HSBC
380°Expired

Mortgage 1.69%+BOE =2.19% (Lifetime tracker max 70%LTV @ HSBC

69
Found 27th Dec 2013
Now this low rate has become available with 70% LTV.

There is no ties, the initial fee is £499 for current account holders. It seems you can get an account and go straight to booking this deal.

Without the account you need to pay £999.
If you went for premium account £299 would suffice, though this would entail 12/month fee instead.

Note, the 1.99% deal for 60% LTV is still on hotukdeals.com/vis…737
as pointed out by kinnth.

69 Comments

I would suggest this is partly due to the thinking that the boe base rate will go up next year at some point. Still a great tracker price though

Hsbc are a joke, halifax offered me a 180,000 mortgage and hsbc offered me 30,000!

HSBC more responsible lenders, perhaps?

What can you possibly get for 30 grand a shed?

Original Poster

Kenneth131

I would suggest this is partly due to the thinking that the BOE base rate … I would suggest this is partly due to the thinking that the BOE base rate will go up next year at some point. Still a great tracker price though



If you suddenly can switch from 2.49% to 2.19% in the same bank than where is the bank's gain?

Possibly, they expect every bank will do similar thing soon and they are trying to be ahead of the curve.

If I was to follow on your thought, I'd say that perhaps they want to lure their fixed rate customers to switch before BOE rises and past fixed deals start to become liability.

jb66

Hsbc are a joke, halifax offered me a 180,000 mortgage and hsbc offered … Hsbc are a joke, halifax offered me a 180,000 mortgage and hsbc offered me 30,000!



That's not a good thing!

darkstar2003

What can you possibly get for 30 grand a shed?



You can buy half of Detroit?

I will feel really sorry for thousands of people when the rates do go back up. All i can think is there will be a lot of cheaper houses all of a sudden.

Why on earth would you switch to a tracker mortgage at this point in the interest rate cycle? It seems extremely unlikely that interest rates will fall from here and there are a number of smart people thinking that rates will rise as early as H1 2014. Yields on bonds are already rising which suggests that some big money is betting on rates going up sooner than many believe.

I think at this point in the cycle - i.e. almost certainly getting towards the end of record low rates - I would be wanting to lock into the fixed term bargains that are still around. This may be a great tracker premium, but I think it won't be too long before a lot of people wished they'd fixed rather than committed to a tracker. Not voting either way btw.

Santander fix 3 year at 2.69 no fees bargain!

In my experience hsbc is only interested if you have regular income of 40K+ to offered realistic mortgage.
It's not responsible lending at all... Who got fined by US Govt. for money laundering of mafia money?? and had to pay billion+?
Halifax is better overall...

HSBC a joke of Bank.

Banked with them since College days for past 27 Years.

Asked to borrow £50k for £95k repossessed property - After 60minutes "Glitter Knickers" Mortgage advisor 22 years old, said I would not be able to afford payments on my salary of £30k for next 25 years

25 Minutes with Barclays - Not a problem !!

Shaggers

HSBC a joke of Bank.Banked with them since College days for past 27 … HSBC a joke of Bank.Banked with them since College days for past 27 Years.Asked to borrow £50k for £95k repossessed property - After 60minutes "Glitter Knickers" Mortgage advisor 22 years old, said I would not be able to afford payments on my salary of £30k for next 25 years25 Minutes with Barclays - Not a problem !!



Never underestimate stupidity

Original Poster

mclovin9091

I will feel really sorry for thousands of people when the rates do go … I will feel really sorry for thousands of people when the rates do go back up. All i can think is there will be a lot of cheaper houses all of a sudden.



Not that I would not like to see that. However, I am afraid we will need to wait really long...

Government just lured another thousands of first time buyers into overpriced properties with subsidies.
It would be politically expensive move to let them go under water.
Not mentioning that letting people go under water in general does not pay off in politics.

On the other hand, the higher the BOE rate the lower the margin.
So raising BOE does not affect people that much at least those in position to switch.

All in all, I think government might have some scope to raise the rates, but not much.
In my opinion, if you have not got really good fixed deal you are likely to overpay.

Reality check for those of you with a short memory. BoE rates at the moment are artificially low and won't continue like this forever. Before the "crisis" the LOW end for interest rates was 4%-5%. The AVERAGE for the previous 40 years was actually more like 8%, and the peak was in November 1979 at 17%!!

Now, add 1.69% to those figures......

qyestionmark

Reality check for those of you with a short memory. BoE rates at the … Reality check for those of you with a short memory. BoE rates at the moment are artificially low and won't continue like this forever. Before the "crisis" the LOW end for interest rates was 4%-5%. The AVERAGE for the previous 40 years was actually more like 8%, and the peak was in November 1979 at 17%!! Now, add 1.69% to those figures......



Well indeed, but as per usual, many, including the banks, will conveniently forget what has happened and we shall go back to boom and bust.

As an existing account holder just switched my two mortgages which were with HSBC from what was already a rock bottom £85k at 2.14% to 1.99% at £99 fee and more expensive 18K at 3.89% also to 1.99%. Total savings are about £700-800 Per annum assuming I don't pay off early.
Thanks very much for the post, and I was thinking before I didn't get much for Christmas
Edited by: "steamuk" 27th Dec 2013

Original Poster

qyestionmark

Reality check for those of you with a short memory. BoE rates at the … Reality check for those of you with a short memory. BoE rates at the moment are artificially low and won't continue like this forever. Before the "crisis" the LOW end for interest rates was 4%-5%. The AVERAGE for the previous 40 years was actually more like 8%, and the peak was in November 1979 at 17%!! Now, add 1.69% to those figures......



I'd be keen to see high rates. Primarily, because I see low rates the primary cause of the financial crisis and they create asset bubbles, favour big business, stifle innovation. Secondary outcome is making banks make easy money.

However... lowering the rates made the house price triple, also tripling mortgage amounts (and, yuck, doubling mortgage margins to increase bank's profit on a property 6-fold) .
Now, governments over the world are hostages of high mortgages ... and through globalization also of other national banks....

That is why I cannot see BoE rate rising anywhere near to 8%.

most banks mortgage advisors are morons, I had a crap job not far off minimum wage, but got offered £160k! no chance! then another spent ages trying to work out my annual income as I was paid 13 times as opposed to 12! D'oh!!!

sajnmel123

Santander fix 3 year at 2.69 no fees bargain!



really? where it's this offer?

I have a mortgage with santander and 2 sub accounts with one dayat 4,54%. would be good to switch to this one

Original Poster

Shaggers

HSBC a joke of Bank.Banked with them since College days for past 27 … HSBC a joke of Bank.Banked with them since College days for past 27 Years.Asked to borrow £50k for £95k repossessed property - After 60minutes "Glitter Knickers" Mortgage advisor 22 years old, said I would not be able to afford payments on my salary of £30k for next 25 years25 Minutes with Barclays - Not a problem !!



In general they play safe in HSBC. Additionally 22 yo trainee could have had a problem filling spreadsheet properly or no authority to do any but simplest deal. Whatever reason it should be easier to remortgage with them especially having mortgage repayment history.

mclovin9091

I will feel really sorry for thousands of people when the rates do go … I will feel really sorry for thousands of people when the rates do go back up. All i can think is there will be a lot of cheaper houses all of a sudden.



Good! Some of us are saving :-P

HSBC are a joke. They are the kind of company that is preventing the country from getting out of recession.

Had a 35k salary at the time asking to borrow £100,000 for a £250,000 property over 25 years but they said my payments would not affordable and wouldn't even entertain the idea of getting a mortgage.

I went to RBS & TSB who had no issues what so ever.

mafj

In general they play safe in HSBC



Does that include their Money Laundering division?

Lol no issue with giving you a mortgage maybe that's why they ended up on such a mess, seems to be the banks that please customers with easy lending are the same ones that have merged and had to get handouts!

I would prefer they didn't lend to every tom dick and Harry then take billions in taxes to fix their problems!

I would

Worst bank ever. Banking with them since 4 years. Wanted to borrow 20k loan and was rejected btw annual income of 55k....
Same period friend with 30k/annum managed to get a loan of 18k.
I know bank takes consideration of all aspects but their banking system is $h!£.....

intresting this is somethng i need to sort out in the new year, my five year fixed is comming to a end in june so need to look at mortgages and another fixed deal.

craigybhoyuk

Lol no issue with giving you a mortgage maybe that's why they ended up on … Lol no issue with giving you a mortgage maybe that's why they ended up on such a mess, seems to be the banks that please customers with easy lending are the same ones that have merged and had to get handouts! I would prefer they didn't lend to every tom dick and Harry then take billions in taxes to fix their problems! I would



So you're trying to say, timmy boy, that lending 100k with a 35k salary and 150k equity is an unreasonable amount?
Edited by: "red23" 28th Dec 2013

Original Poster

m5rcc

Does that include their Money Laundering division?



I am sure HSBC weighed the risks and all in all made good money.

jb66

Hsbc are a joke, halifax offered me a 180,000 mortgage and hsbc offered … Hsbc are a joke, halifax offered me a 180,000 mortgage and hsbc offered me 30,000!



It's their way of telling you they don't want you as a customer. Like car insurance quotes reaching 20k/year for young drivers, they may as well make you an offer.

mafj

I am sure HSBC weighed the risks and all in all made good money.



Yeh, I'm sure all their Cuban, Iranian and Libyan clients are very happy...

My fixed length variable finishes in February, I can't wait to fix my mortgage. Sooo many people are over-leveraged and I don't think there is anything else government can do if interest rates do rise. In fact the government has made things worse with help to buy scheme & bailing out banks - keeping property prices high, rising again in my area by 10% in 3 months.

And it's not like the BOE really chooses the interest rate.... The bond market does and it is on a knife edge IMO and all it would take is for china to sell a few £ & $ or for an EU country to fail and to be honest the west will start to look a bit third world. Ide urge anyone to fix their mortgage now if they possibly can, just done my mother in laws who's payments have gone up £70 pm - it's a hard call to make, but not doing so I told her would be gambling. Also the UK & US media is currently doing a brilliant job of making everyone think here and abroad that the economy is recovering when the truth is the opposite. Recently on zerohedge I heard some news journalists can't get any negative economy story's printed as editors have been urged by the PTB that it's not in the best interest. Watch theRT for ur uncontrolled version of the news and things start to look different. How many people here know that in 2 years time the UK will owe double what it owes now? And that if we don't get growth rates back like 2000-2007 we will not be able to pay it back?

Controlled economies, weak (puppet type) leaders, debased currencies, re-patriation of gold, wars almost everywhere, celebrity chefs & overpaid sportsmen. Previously have all been most of the precursors present at a collapse of a previous empire.

I hate banks for mortgages - these are just headline grabbing deals, they only offer them to people with a high rating and are limited funds. This is why a lot of people get rejected for them. Personally I prefer a building society, even Yorkshire are offering an offset at 1.86% or fixed at 1.99%.

Alas not so many BS to chose from these days (and I don't count the Nationwide, even though technically it is one).

bsa.org.uk/the…sa/

What you have to remember is remortgaging isn't just the headline rate it is also the legal, valuation and associated fees. Most people don't save anything moving.

I just remortgaged with YBS for 1.66% for 65% over 2 years. If you can pay off the extra 5% then surely that's better:

They look at affordability more than just income multipliers. After tax, your outgoings, etc maybe you couldn't afford it. I went to Halifax and they made it quite clear that as long as I could afford the payment out of my net pay, they'd lend me the money, that I had no money to eat didn't seem to concern them.

However I would say HSBC are offering top rates and as such can be choosey who they lend to. I'd recommend Halifax as pretty liberal with their lending

qyestionmark

Why on earth would you switch to a tracker mortgage at this point in the … Why on earth would you switch to a tracker mortgage at this point in the interest rate cycle? It seems extremely unlikely that interest rates will fall from here and there are a number of smart people thinking that rates will rise as early as H1 2014. Yields on bonds are already rising which suggests that some big money is betting on rates going up sooner than many believe.I think at this point in the cycle - i.e. almost certainly getting towards the end of record low rates - I would be wanting to lock into the fixed term bargains that are still around. This may be a great tracker premium, but I think it won't be too long before a lot of people wished they'd fixed rather than committed to a tracker. Not voting either way btw.



Absolutely spot on.

Welcome to the highly informed HUKD financial guessing division.

The BoE keeps revising its projections making a rise earlier and earlier...

They said 7% unemployment would be their trigger to move rates upward. It's fallen to 7.4% in the last couple of weeks. All advice I've heard in the media and from professionals is fix, fix, fix. If you know so this and this deal is still suitable for you then go for it! For everyone else I'd recommend you avoid and find the lowest fixed rate you can!

*I am not a qualified financial advisor and accept no liability from any decisions you make about your financial future*

Mr No

Welcome to the highly informed HUKD financial guessing division.



Lol, was just thinking that, a few peeps must have bought in the late 90s seen a massive increase in house prices and become property experts..

I.ll stick to my hsbc tracker I got 3 years ago at 1.99% + br
and keep on overpaying to have no mortgage by the time rates start to rise
Whilst the fools keep on paying for the banks bonuses with fixed rates..

Long term average I.m happy to be paying 2% plus base..
People don't understand risk/reward, You want low risk you pay for it!

For some people I agree a fixed is the right choice, but remember a 2-3 year fix now will likely come out when the rates are moving, I.m happy to sit and wait.. Once you have a LTV of under 50% rates are going to be far better anyhows
Edited by: "whatyadoinsucka" 28th Dec 2013

escortboy

They said 7% unemployment would be their trigger to move rates upward. … They said 7% unemployment would be their trigger to move rates upward. It's fallen to 7.4% in the last couple of weeks.



Run for the hills, run for the hills!!!

The exact message was that they wouldn't "consider" raising until it was at least 7%, not that it was an automatic trigger.

18th Dec 2013
"Speaking yesterday to a House of Lords committee he said: ‘It is welcome that the economy is growing again, but a return to growth is not yet a return to normality.’

Mr Carney added: ‘The recovery has some way to run before it would be appropriate to consider adjusting the exceptional level of monetary stimulus that we continue to provide to the economy.’

The money markets have almost agreed with the Bank in recent months, with the interest rate curve forecasting a first base rate rise to 0.75 per cent in early 2015. Five year swap rates have risen but nor sharply and stood at 1.83 per cent on 17 December."
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