StickInTheMud
Registered User
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Hi,
I have a SVR mortgage with PTSB paying 4.5%. I've been aware of the PTSB Managed Variable Rate for some time now, but I am put off switching to it by a clause in the contract.
The section of the PTSB MVR contract is
Does this contract clause mean that I would end up stuck with the MVR rate 4.3% for the rest of the mortgage? Meaning if hte SVR is reduced to a fair rate that those on the MVR would be excluded from this?
I have a SVR mortgage with PTSB paying 4.5%. I've been aware of the PTSB Managed Variable Rate for some time now, but I am put off switching to it by a clause in the contract.
The section of the PTSB MVR contract is
8. Once a rate has been switched from the existing rate applicable to the loan to the appropriate Managed Variable Rate in accordance with the Offer, no further switch will be permitted (save a switch to a fixed interest rate where available) and the borrower will be bound to repay the loan at the appropriate Managed Variable Rate as may be varied from time to time at the discretion of the Bank during the remaining term of the mortgage. Accordingly such variations may be made without regard to variations in any other interest rate used by the Bank (including any Managed Variable Rate applicable to different LTV bands, any other rate based on LTV ratios, the permanent tsb standard variable rate or the European Central Bank rate) and irrespective of variations of the LTV ratio of the borrower’s loan during the remaining term of the mortgage.
Does this contract clause mean that I would end up stuck with the MVR rate 4.3% for the rest of the mortgage? Meaning if hte SVR is reduced to a fair rate that those on the MVR would be excluded from this?