Nationwide. Anytime switch from a tracker to fixed rate. £100 Cashback. (i.e. from 1.84% tracker to 1.74% fixed about 65%LTV)
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Nationwide. Anytime switch from a tracker to fixed rate. £100 Cashback. (i.e. from 1.84% tracker to 1.74% fixed about 65%LTV)

11
Edited by:"Naktis"Found 10th Nov
This (possibly) deal is for people on Nationwide tracker mortgages only.
If you are on a tracker mortgage rate then your rate recently increased by 0.25% due to Bank of England rate increase to 0.5%. You can switch from tracker to a fixed one at any time, so you do not have to wait until your deal finishes. There are no penalties, on the contrary you'll get £100 cashback. Very easy to switch online.
As an example I just changed my 2 year tracker at 1.84% overall (had 9 months left on a deal) to a 2 year fixed one at 1.74% (no product fee). So about £10 saving a month plus £100 casback (not sure when and where that is going to be paid ).

11 Comments

Sounds interesting....will have a look... thanks

Seems a no brainer, rates are not going to go down again

jb661 h, 3 m ago

Seems a no brainer, rates are not going to go down again


Its not a no brainer at all


  • If you switch from our Base Mortgage Rate rate to a new mortgage, you won’t be able to switch back to the BMR at a later date and you'll also lose any right to borrow back (if you already have this facility).

BMR currently 2.25%.SMR (standard mortgage rate) is 3.74%. You also lose the ability to draw from any overpayment reserve.
Edited by: "chocci" 11th Nov

chocci1 h, 33 m ago

Its not a no brainer at allIf you switch from our Base Mortgage Rate rate …Its not a no brainer at allIf you switch from our Base Mortgage Rate rate to a new mortgage, you won’t be able to switch back to the BMR at a later date and you'll also lose any right to borrow back (if you already have this facility).BMR currently 2.25%.SMR (standard mortgage rate) is 3.74%. You also lose the ability to draw from any overpayment reserve.



chocci1 h, 33 m ago

Its not a no brainer at allIf you switch from our Base Mortgage Rate rate …Its not a no brainer at allIf you switch from our Base Mortgage Rate rate to a new mortgage, you won’t be able to switch back to the BMR at a later date and you'll also lose any right to borrow back (if you already have this facility).BMR currently 2.25%.SMR (standard mortgage rate) is 3.74%. You also lose the ability to draw from any overpayment reserve.


Thank you for highlighting that for people on the BMR rate

£100 is paid in your usual account 30 days after you switched deals.
It's same for any deal switching if you stay with Nationwide.

Just changed my tracker to a fixed with Nationwide, ended up with a better rate and fixed for 3 years and £100. My rate starts 1st December, the guy on the phone said £100 would be paid end of December

jb665 h, 26 m ago

Seems a no brainer, rates are not going to go down again


It's a trap. They've been itching to get people off their legacy BMR product for years. Rates may edge up another 0.5% in the next 3 years if BoE guidance is correct ... but with Brexit etc there's every chance they'll edge down again as part of a natural economic cycle.

5% - 10% base rates are no longer the "normal" level.

Luckily I have a Woolwich lifetime tracker now running at half a percent below the Nationwide BMR, so it's an easier call for me to stay put. I agree NW is less clear cut but would still be inclined to stay on the BMR.
Edited by: "gwapenut" 11th Nov

Original Poster

gwapenut9 h, 25 m ago

It's a trap. They've been itching to get people off their legacy BMR …It's a trap. They've been itching to get people off their legacy BMR product for years. Rates may edge up another 0.5% in the next 3 years if BoE guidance is correct ... but with Brexit etc there's every chance they'll edge down again as part of a natural economic cycle.5% - 10% base rates are no longer the "normal" level.Luckily I have a Woolwich lifetime tracker now running at half a percent below the Nationwide BMR, so it's an easier call for me to stay put. I agree NW is less clear cut but would still be inclined to stay on the BMR.

it might be at trap for legacy products taken ages ago, forgive my ignorance but i have not heard about BMR rates and products, but not for someone on a tracker deal taken 2 years ago...

Switching to a Nationwide fixed may also limit the overpayments you can make to 10% of the amount you borrowed. 1st world problems and all that, but it might stop it being a no-brainer for some people.

I did this switch about 3 years back. Currently paying 1.37%. Sure it will go up by 0.25% shortly but still less than I was paying before. It's been a great few years for mortgage interest rates.

Naktis11th Nov

it might be at trap for legacy products taken ages ago, forgive my …it might be at trap for legacy products taken ages ago, forgive my ignorance but i have not heard about BMR rates and products, but not for someone on a tracker deal taken 2 years ago...


You're right, I've just re-read properly and see that the offer is for any tracker. It's just the lifetime BMR that needs more careful consideration, but even that may be worth it. Though there's something nice about being free for life from periodic remortgaging.
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