Interest rate hiked up on me...

Why are you going for a 2 years fixed rate in the first place? You will most likely pay more over the 2 years than of you go for a competitive tracker/variable rate and can afford the deal with any rate fluctuations in the meantime.

If your proposed lender is causing such problems then why not look for another one who is as or more competitive?
 
Have to agree with Clubman.

You can get a tracker for about 3.3% at the moment. Thats about 0.87% better that the two year fixed. Even if rates were to rise by over 1% over the next two years you would still be better of with the tracker rate as you are making saving now.

You really need to work out the figures using a spreadsheet.

By the way, interest rates went up by .25% which would bring the rate to 4.04%. I'd query this.
 
asdfg said:
By the way, interest rates went up by .25% which would bring the rate to 4.04%. I'd query this.
Click to expand...

The rates quoted for 2 years will incorporate expectations of what interest rates will do over that period, not historic increases.
 
with the recent ECB rate increase, all mortgages rates have increased. mortgage lenders left a window whereby new application's had a few weeks to close at the lower rate which is generous enough, if you do not close within that time frame then the higher rate applies. its standard enough, and given that there was a delay due to a change requested by you then the mortgage lender will insist upon the higher rate... have to reiterate what other posters have also said, if you think 4.19% is to high then opt for a tracker variable rate , which will be around 3.35% to 3.65% depending upon your lender or Loan to value.
 
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