M
MrShoes
Guest
If fixed rate is lower than variable in the future will there be a penalty to break
I am considering fixing for 3.15% for 2 years but if we find the right place we may move within this time so I'm also considering leaving my mortgage variable.
What I am wondering is if the variable rate moves above this fixed rate(If rates go up 0.5-1%) and if I wanted to exit the fixed agreement would the penalty be zero or minimal if I remortgaged with the same bank given that I would be moving onto a higher rate. Also does anyone have the formula for how the penalty is calculated on BOI mortgages.
Thanks
I am considering fixing for 3.15% for 2 years but if we find the right place we may move within this time so I'm also considering leaving my mortgage variable.
What I am wondering is if the variable rate moves above this fixed rate(If rates go up 0.5-1%) and if I wanted to exit the fixed agreement would the penalty be zero or minimal if I remortgaged with the same bank given that I would be moving onto a higher rate. Also does anyone have the formula for how the penalty is calculated on BOI mortgages.
Thanks