elacsaplau
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There are plenty of ways that banks could control this. I offered one. Let's see if its valid or not.
There are plenty of ways that banks could control this. I offered one. Let's see if its valid or not.
There are plenty of ways that banks could control this.
If the banks begin to see this as a problem there is a very easy way to limit it - offer the cashback 6 months after the mortgage has been drawn down.
It would mean most loan offers would have expired if they were applied for at the same time as the new mortgage - so would mean the person would have to apply in sequence, acting as a deterrent. The legal costs would be likely to be higher as well, because of the time period involved etc.
In the grand scheme of things, its unlikely to become an issue as so few people switch anyway and then those that do are unlikely to switch multiple times. It really is a fringe case scenario, although can be highly rewarding for those who do it !
I never said it applied to all scenarios, but it is more work for people So few people switch in the first instance, most that do multiple switching in a short period are likely to have concurrent loan offers. Removing this adds to the workload and may deter a few more. It does not stop it, it just makes the person want it morei didnt have concurrent loan offers and switching wasnt an issue for me personally.
I applied to 3 banks 3 months ago to switch. As of today, I have 2 offers (ptsb and aib) and am awaiting 1 offer (boi). It seems that there is always a hurdle and I am not sure if I would do it again if I had a time machine. After solicitors and valuation fees for me the net gain is about €6k but given the time and effort I have decided it isn't worth it or me. everyone is different of course. I sit in front a computer each day for work so it should be easier for someone like me to keep on top of this and keep things moving but I have found it difficult and head-wrecking at times.
I have paid for 2 valuers already at total cost of about €300 but I am now expecting that there will be an issue somewhere along the way re drawdown and I fear I will regret ever doing this.
I have friends asking me if its worth doing and im now inclined to say that it isn't but lts see how its pans out over the next few months.
I do think their are lots of ways all of this could be made so much easier - although I fear it may take a decade or so for them to be implemented...After solicitors and valuation fees for me the net gain is about €6k but given the time and effort I have decided it isn't worth it or me. everyone is different of course. I sit in front a computer each day for work so it should be easier for someone like me to keep on top of this and keep things moving but I have found it difficult and head-wrecking at times.
I have paid for 2 valuers already at total cost of about €300 but I am now expecting that there will be an issue somewhere along the way re drawdown and I fear I will regret ever doing this.
Absolutely ... everyone's situation is also unique.really depends on the size of the mortgage, smaller the mortgage smaller the gain, the amount of work involved is the same
Yes they can. There is nothing to prevent them rejecting new business.the banks can't refuse you simply because you are switching again
Hi all, really interesting discussion on multiple switches. I'm due to draw down soon with BOI as a FTB, and can't seem to get an idea of roughly how much it would cost to switch to EBS approx. 3 months from drawdown.
Fixed for 3 years @3%
Amount 340,000
Has anyone any advice?
Hi Seaniemed,Hi all, really interesting discussion on multiple switches. I'm due to draw down soon with BOI as a FTB, and can't seem to get an idea of roughly how much it would cost to switch to EBS approx. 3 months from drawdown.
Fixed for 3 years @3%
Amount 340,000
Has anyone any advice?
A 1 year fixed rate would be better advice.If you're planning on switching after 3 months, do not get a fixed rate with BOI, go with a variable rate. Otherwise you will be charged a breakage fee when you switch, this can be significant.
A 1 year fixed rate would be better advice.
The SVR is 4.5%
A new borrower will not be able to switch anywhere after just 3 months.
The break fee for a 1 year fixed would not be more than the saving between fixed and SVR rates.