Key Post Switch or re-fix my mortgage? Breakage fee calculator and savings estimates for your case (Ireland)

flyingalexf68 said:
  • Current lender. AIB
  • Outstanding mortgage balance (how much you still owe) €255000
  • Approximate current value of your property 450000
  • The date you started your fixed-rate mortgage (month and year) May 2019
  • How many years you fixed for. 5
  • Your current mortgage interest rate 2.85%
  • Your current monthly repayment (excluding any overpayments) €1309
  • Your property's BER (Building Energy Rating) – check it here or estimate it if necessary A3
  • Are you due to get extra cashback from your current lender in the future, e.g., "1% after 5 years", or "2% cashback monthly"? If so, how much (monetary amount) and when? No
Click to expand...
@flyingalexf68 Your break fee should be zero at the moment – but it is volatile because wholesale interest rates are volatile, so confirm it with AIB. If it is higher than zero, please post it here when you receive it, including the date of the letter.
  • Switching immediately to Permanent TSB's 5-year green fixed rate (2.35% with €5,098 initial cashback and 2% monthly cashback) will save you about €8,260 over the next 4 years
    • Note that Permanent TSB discriminate between new and existing customers, i.e., their best rates are not available to existing customers
    • For example, if you were an existing Permanent TSB customer right now, the best rate you would be able to switch to today is 2.8%
    • So if you switch to them now, you will not be eligible to switch to one of their low rates in the future and you will end up on a higher interest rate. When that happens, you may want to switch again to another lender, which will incur costs (and it might be impossible to switch if your financial situation has deteriorated).

  • Switching immediately to Bank of Ireland's 4-year green fixed rate (1.9% with no cashback) will save you about €6,580 over the next 4 years
    • Note that Bank of Ireland discriminate between new and existing customers, i.e., their best rates are not available to existing customers
    • For example, if you were an existing Bank of Ireland customer right now, the best rate you would be able to switch to today is 3.0%
    • So if you switch to them now, you will not be eligible to switch to one of their low rates in the future and you will end up on a higher interest rate. When that happens, you may want to switch again to another lender, which will incur costs (and it might be impossible to switch if your financial situation has deteriorated).

  • Switching immediately to Bank of Ireland's 7-year green fixed rate (2.25% with no cashback) will save you about €3,220 over the next 4 years – but with the longer security of 7 years on a fixed rate
    • The same warnings as above regarding higher Bank of Ireland rates in the future apply

  • Switching immediately to Haven's 4-year green fixed rate (2.5% with €2,000 cashback) will save you about €2,800 over the next 4 years
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to Avant Money's 4-year fixed rate (2.45% with no cashback) will save you about €1,240 over the next 4 years

  • Switching immediately to Bank of Ireland's 10-year green fixed rate (3.0% with €5,098 cashback) will save you about €1,060 over the next 4 years – but with the longer security of 10 years on a fixed rate
    • The same warnings as above regarding higher Bank of Ireland rates in the future apply

  • Switching immediately to AIB's 5-year green fixed rate (2.65% with no cashback) will save you about €640 over the next 4 years. And it is very simple and quick to do (no bank statements, salary cert or solicitor, etc., needed).
    • And it is quite likely that you will be able to make unlimited overpayments without penalty for the foreseeable future (see this thread)

  • Switching immediately to Haven's 7-year fixed rate (3.15% with €5,000 cashback) will leave you worse off by about €500 over the next 4 years – but with the longer security of 7 years on a fixed rate
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to Avant Money's 5-year fixed rate (2.65% with no cashback) will leave you worse off by about €680 over the next 4 years

  • Switching immediately to Haven's 10-year fixed rate (3.35% with €5,000 cashback) will leave you worse off by about €2,460 over the next 4 years – but with the longer security of 10 years on a fixed rate
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to Avant Money's 7-year fixed rate (2.95% with no cashback) will leave you worse off by about €3,600 over the next 4 years – but with the longer security of 7 years on a fixed rate

  • Switching immediately to Avant Money's 10-year fixed rate (3.4% with no cashback) will leave you worse off by about €7,980 over the next 4 years – but with the longer security of 10 years on a fixed rate

  • Switching immediately to AIB's 7-year fixed rate (3.55% with no cashback) will leave you worse off by about €8,120 over the next 4 years – but with the longer security of 7 years on a fixed rate. And it is very simple and quick to do (no bank statements, salary cert or solicitor, etc., needed).

  • Switching immediately to Avant Money's "One Mortgage" (a 3.5% fixed rate with no cashback) will leave you worse off by about €8,960 over the next 4 years – and the interest rate will remain fixed for the remainder of your mortgage term (approximately 22 years)

  • Switching immediately to AIB's 10-year fixed rate (3.7% with no cashback) will leave you worse off by about €9,600 over the next 4 years – but with the longer security of 10 years on a fixed rate. And it is very simple and quick to do (no bank statements, salary cert or solicitor, etc., needed).

  • Switching immediately to Finance Ireland's 10-year fixed rate (4.45% with no cashback) will leave you worse off by about €18,320 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below

  • Switching immediately to Finance Ireland's 15-year fixed rate (4.48% with no cashback) will leave you worse off by about €18,620 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below

  • Switching immediately to Finance Ireland's 20-year fixed rate (4.58% with no cashback) will leave you worse off by about €19,620 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below

The above AIB and Haven rates include their rate increases of 14 October 2022. Permanent TSB and Bank of Ireland are expected to increase their rates very soon.

You need a BER cert with a BER rating of B3 or better to be eligible for any of the listed "green" rates.

These savings estimates use for comparison the scenario of switching to a 2.65% rate with AIB when the current fixed rate ends. And that's assuming that AIB are even offering a 2.65% rate in May 2024 – it could be higher (or lower). The estimates also account for any fees (solicitors' fees, valuation fee) that you have to pay and any cashback offered by the above lenders.

All of Avant's rates, and Finance Ireland's 10-year and longer fixed rates, allow you to avoid any potential break fee if you move home in the future (as long as you take out a new mortgage with them, and subject to certain conditions). And in the case of Finance Ireland you can "take your mortgage with you" – meaning that you get to keep the same interest rate when you move (provided that at least 3 years have passed since you started the Finance Ireland fixed rate and subject to certain other conditions).

Bear in mind that the interest rates of some lenders are very likely to rise between now and the time that you complete any switch, so if you are thinking of switching you should apply simultaneously to two or more lenders for approval in principle (AIP).
 
@Paul F taking you up on your offer. To be honest think I'm going to leave it for another 6+ months as I've over a year to run on the fixed rate which is now better than anything I could get (no way BOI will still offer that low rate by the time underwriting is done).

  • Current lender – PTSB (was BOI before)
  • Outstanding mortgage balance (how much you still owe) – 325k
  • Approximate current value of your property – ~€500k (possible €550k, some high sales prices in the last year)
  • The date you started your fixed-rate mortgage (month and year) - Jan 2021
  • How many years you fixed for – 3 years
  • Your current mortgage interest rate – 2.5%
  • Your current monthly repayment (excluding any overpayments) - €1,570
  • Your property's BER (Building Energy Rating) – check it here or estimate it if necessary – Not B3 unfortunately!
  • Are you due to get extra cashback from your current lender in the future, e.g., "1% after 5 years", or "2% cashback monthly"? If so, how much (monetary amount) and when? 2% of the monthly payment back, so effectively only paying €1,538 per month
 
Hi. Figures below. Thanks for the help.
  • Current lender. BOI
  • Outstanding mortgage balance (how much you still owe) €379,000
  • Approximate current value of your property €550,000
  • The date you started your fixed-rate mortgage (month and year) August 2022
  • How many years you fixed for. 5
  • Your current mortgage interest rate 2.7%
  • Your current monthly repayment (excluding any overpayments) €1475
  • Your property's BER (Building Energy Rating) – check it here or estimate it if necessary A2
  • Are you due to get extra cashback from your current lender in the future, e.g., "1% after 5 years", or "2% cashback monthly"? If so, how much (monetary amount) and when? 1% After Five Years (3790)
 
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Hi there, a little overwhelmed with so much information so I'll just dive in. Really appreciate any advice...

Current lender. BOI
Outstanding mortgage balance: €287,500
Approximate current value of your property: €430,000
The date you started your fixed-rate mortgage: March 2021
How many years you fixed for: 3
Your current mortgage interest rate: 3%
Your current monthly repayment: €1293.70
Your property's BER: ESTIMATE B3 /C1 (waiting on assessor to come)
Are you due to get extra cashback from your current lender in the future: €3100 in March 2026 (extra 1% in 5 years)
 
Tycho Station said:
  • Current lender. BOI
  • Outstanding mortgage balance (how much you still owe) 380,000
  • Approximate current value of your property 510,000
  • The date you started your fixed-rate mortgage (month and year) July 2021
  • How many years you fixed for. 2
  • Your current mortgage interest rate 2.7% (current account discount)
  • Your current monthly repayment (excluding any overpayments) 1812
  • Your property's BER (Building Energy Rating) – check it here or estimate it if necessary: A3
  • Are you due to get extra cashback from your current lender in the future, e.g., "1% after 5 years", or "2% cashback monthly"? If so, how much (monetary amount) and when? Yes
Click to expand...
@Tycho Station Your break fee should be zero at the moment – but it is volatile so confirm it with Bank of Ireland. If it is higher than zero, please post it here when you receive it, including the date of the letter.
  • Switching immediately to Permanent TSB's 5-year green fixed rate (2.35% with €7,598 initial cashback and 2% monthly cashback) will save you about €12,120 over the next 4 years
    • Note that Permanent TSB discriminate between new and existing customers, i.e., their best rates are not available to existing customers
    • For example, if you were an existing Permanent TSB customer right now, the best rate you would be able to switch to today is 2.8%
    • So if you switch to them now, you will not be eligible to switch to one of their low rates in the future and you will end up on a higher interest rate. When that happens, you may want to switch again to another lender, which will incur costs (and it might be impossible to switch if your financial situation has deteriorated).

  • Switching immediately to Haven's 4-year green fixed rate (2.5% with €2,000 cashback) will save you about €2,960 over the next 4 years
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to Permanent TSB's 7-year fixed rate (3.0% with €7,598 initial cashback and 2% monthly cashback) will save you about €2,780 over the next 4 years – but with the longer security of 7 years on a fixed rate
    • The same warnings as above regarding higher Permanent TSB rates in the future apply

  • Switching immediately to AIB's 5-year green fixed rate (2.65% with €2,000 cashback) will save you about €780 over the next 4 years
    • And it is quite likely that you will be able to make unlimited overpayments without penalty for the foreseeable future (see this thread)

  • Switching immediately to Bank of Ireland's 5-year fixed rate (3.0% and you would get the 1% (€4,000) cashback) will leave you worse off by about €880 over the next 4 years. But it is very simple and quick to do (no bank statements, salary cert or solicitor, etc., needed).

  • Switching immediately to Avant Money's 4-year fixed rate (2.65% with no cashback) will leave you worse off by about €1,260 over the next 4 years

  • Switching immediately to Haven's 7-year fixed rate (3.15% with €5,000 cashback) will leave you worse off by about €3,520 over the next 4 years – but with the longer security of 7 years on a fixed rate
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to Avant Money's 5-year fixed rate (2.85% with no cashback) will leave you worse off by about €4,180 over the next 4 years

  • Switching immediately to Bank of Ireland's 10-year fixed rate (3.3% and you would get the 1% (€4,000) cashback) will leave you worse off by about €5,420 over the next 4 years – but with the longer security of 10 years on a fixed rate. And it is very simple and quick to do (no bank statements, salary cert or solicitor, etc., needed).

  • Switching immediately to Haven's 10-year fixed rate (3.35% with €5,000 cashback) will leave you worse off by about €6,460 over the next 4 years – but with the longer security of 10 years on a fixed rate
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to Avant Money's 7-year fixed rate (3.15% with no cashback) will leave you worse off by about €8,560 over the next 4 years – but with the longer security of 7 years on a fixed rate

  • Switching immediately to AIB's 10-year fixed rate (3.7% with €2,000 cashback) will leave you worse off by about €14,600 over the next 4 years – but with the longer security of 10 years on a fixed rate

  • Switching immediately to Avant Money's 10-year fixed rate (3.6% with no cashback) will leave you worse off by about €15,160 over the next 4 years – but with the longer security of 10 years on a fixed rate

  • Switching immediately to Avant Money's "One Mortgage" (a 3.75% fixed rate with no cashback) will leave you worse off by about €17,360 over the next 4 years – and the interest rate will remain fixed for the remainder of your mortgage term (approximately 24 years)

  • Switching immediately to Finance Ireland's 10-year fixed rate (4.64% with no cashback) will leave you worse off by about €30,560 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below
    • And your interest rate (initially 4.64%) will fall to 4.6% in 2 years and 6 months when you move into a lower loan-to-value bracket (or sooner if you make overpayments or your property increases in value and you get an updated valuation). See the section "How we decide rate reductions" on this page.
    • And your interest rate will fall again in the future

  • Switching immediately to Finance Ireland's 15-year fixed rate (4.73% with no cashback) will leave you worse off by about €31,900 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below
    • And your interest rate (initially 4.73%) will fall to 4.63% in 2 years and 6 months when you move into a lower loan-to-value bracket (or sooner if you make overpayments or your property increases in value and you get an updated valuation). See the section "How we decide rate reductions" on this page.
    • And your interest rate will fall again in the future

  • Switching immediately to Finance Ireland's 20-year fixed rate (4.83% with no cashback) will leave you worse off by about €33,380 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below
    • And your interest rate (initially 4.83%) will fall to 4.73% in 2 years and 7 months when you move into a lower loan-to-value bracket (or sooner if you make overpayments or your property increases in value and you get an updated valuation). See the section "How we decide rate reductions" on this page.
    • And your interest rate will fall again in the future

The above AIB and Haven rates include their rate increases of 14 October 2022. Permanent TSB and Bank of Ireland are expected to increase their rates very soon.

These savings estimates use for comparison the scenario of switching to a 3% rate with Bank of Ireland when the current fixed rate ends. And that's assuming that Bank of Ireland are even offering a 3% rate in July 2023 – it could be higher (or lower). You would get the Bank of Ireland €4,000 future cashback in such a scenario, and the savings estimates account for this. The estimates also account for any fees (solicitors' fees, valuation fee) that you have to pay and any cashback offered by the above lenders.

All of Avant's rates, and Finance Ireland's 10-year and longer fixed rates, allow you to avoid any potential break fee if you move home in the future (as long as you take out a new mortgage with them, and subject to certain conditions). And in the case of Finance Ireland you can "take your mortgage with you" – meaning that you get to keep the same interest rate when you move (provided that at least 3 years have passed since you started the Finance Ireland fixed rate and subject to certain other conditions).

Bear in mind that the interest rates of some lenders are very likely to rise between now and the time that you complete any switch, so if you are thinking of switching you should apply simultaneously to two or more lenders for approval in principle (AIP).

Even though it is usually quick to re-fix with your current lender, it is still possible for rates to rise while you are in the middle of the process, which could potentially leave you worse off than if you had done nothing. Ask Bank of Ireland if they will guarantee today's rates for you if you start the process of re-fixing with them.
 
Markel said:
  • Current lender – PTSB (was BOI before)
  • Outstanding mortgage balance (how much you still owe) – 325k
  • Approximate current value of your property – ~€500k (possible €550k, some high sales prices in the last year)
  • The date you started your fixed-rate mortgage (month and year) - Jan 2021
  • How many years you fixed for – 3 years
  • Your current mortgage interest rate – 2.5%
  • Your current monthly repayment (excluding any overpayments) - €1,570
  • Your property's BER (Building Energy Rating) – check it here or estimate it if necessary – Not B3 unfortunately!
  • Are you due to get extra cashback from your current lender in the future, e.g., "1% after 5 years", or "2% cashback monthly"? If so, how much (monetary amount) and when? 2% of the monthly payment back, so effectively only paying €1,538 per month
Click to expand...
@Markel Your break fee should be zero at the moment – but confirm it with Permanent TSB. If it is higher than zero, please post it here when you receive it, including the date of the letter.
  • Switching immediately to Bank of Ireland's 4-year fixed rate (2.2% with no cashback) will save you about €4,740 over the next 4 years
    • Note that Bank of Ireland discriminate between new and existing customers, i.e., their best rates are not available to existing customers
    • For example, if you were an existing Bank of Ireland customer right now, the best rate you would be able to switch to today is 3.0%
    • So if you switch to them now, you will not be eligible to switch to one of their low rates in the future and you will end up on a higher interest rate. When that happens, you may want to switch again to another lender, which will incur costs (and it might be impossible to switch if your financial situation has deteriorated).

  • Switching immediately to Avant Money's 4-year fixed rate (2.45% with no cashback) will save you about €1,640 over the next 4 years
    • If you get a valuation of less than €542k, the rate will be 2.55% and it will save you about €400 over the next 4 years

  • Switching immediately to AIB's 4-year fixed rate (2.7% with €2,000 cashback) will save you about €580 over the next 4 years

  • Switching immediately to Bank of Ireland's 7-year fixed rate (2.55% with no cashback) will save you about €440 over the next 4 years – but with the longer security of 7 years on a fixed rate
    • The same warnings as above regarding higher Bank of Ireland rates in the future apply

  • Switching immediately to Avant Money's 5-year fixed rate (2.65% with no cashback) will leave you worse off by about €840 over the next 4 years
    • If you get a valuation of less than €542k, the rate will be 2.75% and it will leave you worse off by about €2,080 over the next 4 years

  • Switching immediately to Haven's 7-year fixed rate (3.15% with €5,000 cashback) will leave you worse off by about €2,020 over the next 4 years – but with the longer security of 7 years on a fixed rate
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to Bank of Ireland's 10-year fixed rate (3.3% with €6,499 cashback) will leave you worse off by about €2,400 over the next 4 years – but with the longer security of 10 years on a fixed rate
    • The same warnings as above regarding higher Bank of Ireland rates in the future apply

  • Switching immediately to Permanent TSB's 5- or 7-year fixed rate (3.0% with 2% monthly cashback) will leave you worse off by about €2,480 over the next 4 years – but with the longer security of up to 7 years on a fixed rate. And it is very simple and quick to do (no bank statements, salary cert or solicitor, etc., needed).

  • Switching immediately to Haven's 10-year fixed rate (3.35% with €5,000 cashback) will leave you worse off by about €4,520 over the next 4 years – but with the longer security of 10 years on a fixed rate
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to Avant Money's 7-year fixed rate (2.95% with no cashback) will leave you worse off by about €4,560 over the next 4 years – but with the longer security of 7 years on a fixed rate
    • If you get a valuation of less than €542k, the rate will be 3.05% and it will leave you worse off by about €5,800 over the next 4 years

  • Switching immediately to Avant Money's 10-year fixed rate (3.4% with no cashback) will leave you worse off by about €10,180 over the next 4 years – but with the longer security of 10 years on a fixed rate
    • If you get a valuation of less than €542k, the rate will be 3.5% and it will leave you worse off by about €11,420 over the next 4 years

  • Switching immediately to Avant Money's "One Mortgage" (a 3.5% fixed rate with no cashback) will leave you worse off by about €11,420 over the next 4 years – and the interest rate will remain fixed for the remainder of your mortgage term (approximately 23 years)
    • If you get a valuation of less than €542k, the rate will be 3.65% and it will leave you worse off by about €13,300 over the next 4 years

  • Switching immediately to AIB's 10-year fixed rate (3.7% with €2,000 cashback) will leave you worse off by about €11,900 over the next 4 years – but with the longer security of 10 years on a fixed rate

  • Switching immediately to Finance Ireland's 10-year fixed rate (4.45% with no cashback) will leave you worse off by about €23,400 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below

  • Switching immediately to Finance Ireland's 15-year fixed rate (4.48% with no cashback) will leave you worse off by about €23,780 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below

  • Switching immediately to Finance Ireland's 20-year fixed rate (4.58% with no cashback) will leave you worse off by about €25,040 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below

The above AIB and Haven rates include their rate increases of 14 October 2022. Permanent TSB and Bank of Ireland are expected to increase their rates very soon.

These savings estimates use for comparison the scenario of switching to a 2.95% rate with Permanent TSB when the current fixed rate ends. And that's assuming that Permanent TSB are even offering a 2.95% rate in January 2024 – it could be higher (or lower). You would continue to get the Permanent TSB monthly cashback in such a scenario. The estimates also account for any fees (solicitors' fees, valuation fee) that you have to pay and any cashback offered by the above lenders.

All of Avant's rates, and Finance Ireland's 10-year and longer fixed rates, allow you to avoid any potential break fee if you move home in the future (as long as you take out a new mortgage with them, and subject to certain conditions). And in the case of Finance Ireland you can "take your mortgage with you" – meaning that you get to keep the same interest rate when you move (provided that at least 3 years have passed since you started the Finance Ireland fixed rate and subject to certain other conditions).

Bear in mind that the interest rates of some lenders are very likely to rise between now and the time that you complete any switch, so if you are thinking of switching you should apply simultaneously to two or more lenders for approval in principle (AIP).

Even though it is usually quick to re-fix with your current lender, it is still possible for rates to rise while you are in the middle of the process, which could potentially leave you worse off than if you had done nothing. Ask Permanent TSB if they will guarantee today's rates for you if you start the process of re-fixing with them.

Markel said:
To be honest think I'm going to leave it for another 6+ months as I've over a year to run on the fixed rate which is now better than anything I could get (no way BOI will still offer that low rate by the time underwriting is done).
Click to expand...
It might be possible to complete a switch to at least some of the above lenders before they increase their rates – although probably not BOI, as you say. And re-fixing with PTSB would be quick, although it will cost you over the short term.

In trying to decide what to do, ask yourself where you think interest rates will be in January 2024 and over the following few years. If you think they will be higher then than they are now (or higher then than they will be in three months), it might be worth re-fixing or switching now. Ultimately, though, it's your call.
 
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Paul F said:
@Markel Your break fee should be zero at the moment – but confirm it with Permanent TSB. If it is higher than zero, please post it here when you receive it, including the date of the letter.
  • Switching immediately to Bank of Ireland's 4-year fixed rate (2.2% with no cashback) will save you about €4,740 over the next 4 years
    • Note that Bank of Ireland discriminate between new and existing customers, i.e., their best rates are not available to existing customers
    • For example, if you were an existing Bank of Ireland customer right now, the best rate you would be able to switch to today is 3.0%
    • So if you switch to them now, you will not be eligible to switch to one of their low rates in the future and you will end up on a higher interest rate. When that happens, you may want to switch again to another lender, which will incur costs (and it might be impossible to switch if your financial situation has deteriorated).

  • Switching immediately to Avant Money's 4-year fixed rate (2.45% with no cashback) will save you about €1,640 over the next 4 years
    • If you get a valuation of less than €542k, the rate will be 2.55% and it will save you about €400 over the next 4 years

  • Switching immediately to AIB's 4-year fixed rate (2.7% with €2,000 cashback) will save you about €580 over the next 4 years

  • Switching immediately to Bank of Ireland's 7-year fixed rate (2.55% with no cashback) will save you about €440 over the next 4 years – but with the longer security of 7 years on a fixed rate
    • The same warnings as above regarding higher Bank of Ireland rates in the future apply

  • Switching immediately to Avant Money's 5-year fixed rate (2.65% with no cashback) will leave you worse off by about €840 over the next 4 years
    • If you get a valuation of less than €542k, the rate will be 2.75% and it will leave you worse off by about €2,080 over the next 4 years

  • Switching immediately to Haven's 7-year fixed rate (3.15% with €5,000 cashback) will leave you worse off by about €2,020 over the next 4 years – but with the longer security of 7 years on a fixed rate
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to Bank of Ireland's 10-year fixed rate (3.3% with €6,499 cashback) will leave you worse off by about €2,400 over the next 4 years – but with the longer security of 10 years on a fixed rate
    • The same warnings as above regarding higher Bank of Ireland rates in the future apply

  • Switching immediately to Permanent TSB's 5- or 7-year fixed rate (3.0% with 2% monthly cashback) will leave you worse off by about €2,480 over the next 4 years – but with the longer security of up to 7 years on a fixed rate. And it is very simple and quick to do (no bank statements, salary cert or solicitor, etc., needed).

  • Switching immediately to Haven's 10-year fixed rate (3.35% with €5,000 cashback) will leave you worse off by about €4,520 over the next 4 years – but with the longer security of 10 years on a fixed rate
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to Avant Money's 7-year fixed rate (2.95% with no cashback) will leave you worse off by about €4,560 over the next 4 years – but with the longer security of 7 years on a fixed rate
    • If you get a valuation of less than €542k, the rate will be 3.05% and it will leave you worse off by about €5,800 over the next 4 years

  • Switching immediately to Avant Money's 10-year fixed rate (3.4% with no cashback) will leave you worse off by about €10,180 over the next 4 years – but with the longer security of 10 years on a fixed rate
    • If you get a valuation of less than €542k, the rate will be 3.5% and it will leave you worse off by about €11,420 over the next 4 years

  • Switching immediately to Avant Money's "One Mortgage" (a 3.5% fixed rate with no cashback) will leave you worse off by about €11,420 over the next 4 years – and the interest rate will remain fixed for the remainder of your mortgage term (approximately 23 years)
    • If you get a valuation of less than €542k, the rate will be 3.65% and it will leave you worse off by about €13,300 over the next 4 years

  • Switching immediately to AIB's 10-year fixed rate (3.7% with €2,000 cashback) will leave you worse off by about €11,900 over the next 4 years – but with the longer security of 10 years on a fixed rate

  • Switching immediately to Finance Ireland's 10-year fixed rate (4.45% with no cashback) will leave you worse off by about €23,400 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below

  • Switching immediately to Finance Ireland's 15-year fixed rate (4.48% with no cashback) will leave you worse off by about €23,780 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below

  • Switching immediately to Finance Ireland's 20-year fixed rate (4.58% with no cashback) will leave you worse off by about €25,040 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below

The above AIB and Haven rates include their rate increases of 14 October 2022. Permanent TSB and Bank of Ireland are expected to increase their rates very soon.

These savings estimates use for comparison the scenario of switching to a 2.95% rate with Permanent TSB when the current fixed rate ends. And that's assuming that Permanent TSB are even offering a 2.95% rate in January 2024 – it could be higher (or lower). You would continue to get the Permanent TSB monthly cashback in such a scenario. The estimates also account for any fees (solicitors' fees, valuation fee) that you have to pay and any cashback offered by the above lenders.

All of Avant's rates, and Finance Ireland's 10-year and longer fixed rates, allow you to avoid any potential break fee if you move home in the future (as long as you take out a new mortgage with them, and subject to certain conditions). And in the case of Finance Ireland you can "take your mortgage with you" – meaning that you get to keep the same interest rate when you move (provided that at least 3 years have passed since you started the Finance Ireland fixed rate and subject to certain other conditions).

Bear in mind that the interest rates of some lenders are very likely to rise between now and the time that you complete any switch, so if you are thinking of switching you should apply simultaneously to two or more lenders for approval in principle (AIP).

Even though it is usually quick to re-fix with your current lender, it is still possible for rates to rise while you are in the middle of the process, which could potentially leave you worse off than if you had done nothing. Ask Permanent TSB if they will guarantee today's rates for you if you start the process of re-fixing with them.


It might be possible to complete a switch to at least some of the above lenders before they increase their rates – although probably not BOI, as you say. And re-fixing with PTSB would be quick, although it will cost you over the short term.

In trying to decide what to do, ask yourself where you think interest rates will be in January 2024 and over the following few years. If you think they will be higher then than they are now (or higher then than they will be in three months), it might be worth re-fixing or switching now. Ultimately, though, it's your call.
Click to expand...
Thanks very much @Paul F - believe it or not I never even considered sticking with PTSB but the gap isn’t as bad at the moment and I’d avoid solicitor fees etc. One to think over.
 
stebag said:
Hi there, a little overwhelmed with so much information so I'll just dive in. Really appreciate any advice...

Current lender. BOI
Outstanding mortgage balance: €287,500
Approximate current value of your property: €430,000
The date you started your fixed-rate mortgage: March 2021
How many years you fixed for: 3
Your current mortgage interest rate: 3%
Your current monthly repayment: €1293.70
Your property's BER: ESTIMATE B3 /C1 (waiting on assessor to come)
Are you due to get extra cashback from your current lender in the future: €3100 in March 2026 (extra 1% in 5 years)
Click to expand...

Having read through the recent posts it looks like my best option might be the PTSB 5 Year Fixed rate. That would be hoping I get the B3 and Green Mortgage, but even if not the regular 5 Year Fixed at 2.55% looks to be a better offering that what I have right now.

I just called BOI and they say 72hr timeline for a callback to discuss breakage fee etc...
 
Hello ,
Looking for advice please.


  • Current lender- ULSTER BANK
  • Outstanding mortgage balance (how much you still owe) €83,000
  • Approximate current value of your property - €150,000
  • The date you started your fixed-rate mortgage (month and year) MARCH 2020
  • How many years you fixed for -3
  • Your current mortgage interest rate- 2.2%
  • Your current monthly repayment (excluding any overpayments) -€387
  • Your property's BER (Building Energy Rating) – check it here or estimate it if necessary -D
  • Are you due to get extra cashback from your current lender in the future, e.g., "1% after 5 years", or "2% cashback monthly"? If so, how much (monetary amount) and when? NO
I applied to see if I could refix now and got the following options
LTV IS <60%

2 Year fixed -2.20% - €387.87 per month - €907 breakage
4 year fixed -2.35% - €393.92 per month - €969 breakage
5 year fixed -2.35% - €393.92 per month - €969 breakage
7 year fixed -2.80% - €412.40 per month - €1,155 breakage
10 year fixed - 2.80% - €412.40 per month €1,155 breakage

Should I wait until March when I get the new rate offers (likely higher?) with no breakage costs , or go with one of the above?
Or if you have any other advice?

Thank you.
 
Ent319 said:
  • Current lender. BOI
  • Outstanding mortgage balance (how much you still owe) €379,000
  • Approximate current value of your property €550,000
  • The date you started your fixed-rate mortgage (month and year) August 2022
  • How many years you fixed for. 5
  • Your current mortgage interest rate 2.7%
  • Your current monthly repayment (excluding any overpayments) €1475
  • Your property's BER (Building Energy Rating) – check it here or estimate it if necessary A2
  • Are you due to get extra cashback from your current lender in the future, e.g., "1% after 5 years", or "2% cashback monthly"? If so, how much (monetary amount) and when? 1% After Five Years (3790)
Click to expand...
@Ent319 Your break fee should be zero at the moment – but confirm it with Bank of Ireland. If it is higher than zero, please post it here when you receive it, including the date of the letter.
  • Switching immediately to Haven's 4-year green fixed rate (2.5% with €2,000 cashback) will save you about €3,500 over the next 4 years
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to AIB's 5-year green fixed rate (2.65% with €2,000 cashback) will save you about €1,280 over the next 4 years
    • And it is quite likely that you will be able to make unlimited overpayments without penalty for the foreseeable future (see this thread)

  • Switching immediately to Haven's 7-year fixed rate (3.15% with €5,000 cashback) will leave you worse off by about €3,140 over the next 4 years – but with the longer security of 7 years on a fixed rate
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to Haven's 10-year fixed rate (3.35% with €5,000 cashback) will leave you worse off by about €6,140 over the next 4 years – but with the longer security of 10 years on a fixed rate
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to Bank of Ireland's 10-year fixed rate (3.3% with no cashback) will leave you worse off by about €9,080 over the next 4 years – but with the longer security of 10 years on a fixed rate. And it is very simple and quick to do (no bank statements, salary cert or solicitor, etc., needed).

  • Switching immediately to AIB's 7-year fixed rate (3.55% with €2,000 cashback) will leave you worse off by about €12,120 over the next 4 years – but with the longer security of 7 years on a fixed rate

  • Switching immediately to AIB's 10-year fixed rate (3.7% with €2,000 cashback) will leave you worse off by about €14,360 over the next 4 years – but with the longer security of 10 years on a fixed rate

  • Switching immediately to Finance Ireland's 10-year fixed rate (4.6% with no cashback) will leave you worse off by about €29,940 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below
    • And your interest rate (initially 4.6%) will fall to 4.45% in 7 years and 10 months when you move into a lower loan-to-value bracket (or sooner if you make overpayments or your property increases in value and you get an updated valuation). See the section "How we decide rate reductions" on this page.

  • Switching immediately to Finance Ireland's 15-year fixed rate (4.63% with no cashback) will leave you worse off by about €30,380 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below
    • And your interest rate (initially 4.63%) will fall to 4.48% in 7 years and 11 months when you move into a lower loan-to-value bracket (or sooner if you make overpayments or your property increases in value and you get an updated valuation). See the section "How we decide rate reductions" on this page.

  • Switching immediately to Finance Ireland's 20-year fixed rate (4.73% with no cashback) will leave you worse off by about €31,900 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below
    • And your interest rate (initially 4.73%) will fall to 4.58% in 8 years when you move into a lower loan-to-value bracket (or sooner if you make overpayments or your property increases in value and you get an updated valuation). See the section "How we decide rate reductions" on this page.

  • Switching immediately to Finance Ireland's 25-year fixed rate (4.88% with no cashback) will leave you worse off by about €34,160 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below
    • And your interest rate (initially 4.88%) will fall to 4.73% in 8 years and 2 months when you move into a lower loan-to-value bracket (or sooner if you make overpayments or your property increases in value and you get an updated valuation). See the section "How we decide rate reductions" on this page.

The above AIB and Haven rates include their rate increases of 14 October 2022. Bank of Ireland are expected to increase their rates very soon.

These savings estimates use for comparison the scenario of doing nothing. The estimates also account for any fees (solicitors' fees, valuation fee) that you have to pay and any cashback offered by the above lenders.

I have not included estimates for Avant or Permanent TSB because you must be with your current lender at least 12 months before you can switch to them. In the case of AIB, you must have been with your current lender at least 6 months before you can switch to them, but they may let you start the switching process now and draw down once the 6 months are up – ask them. Haven's rules around this topic are unknown. Finance Ireland apparently have no minimum time period.

Finance Ireland's 10-year and longer fixed rates allow you to avoid any potential break fee if you move home in the future (as long as you take out a new mortgage with them, and subject to certain conditions). And in the case of Finance Ireland you can "take your mortgage with you" – meaning that you get to keep the same interest rate when you move (provided that at least 3 years have passed since you started the Finance Ireland fixed rate and subject to certain other conditions).

Bear in mind that the interest rates of some lenders are very likely to rise between now and the time that you complete any switch, so if you are thinking of switching you should apply simultaneously to two or more lenders for approval in principle (AIP).

Even though it is usually quick to re-fix with your current lender, it is still possible for rates to rise while you are in the middle of the process, which could potentially leave you worse off than if you had done nothing. Ask Bank of Ireland if they will guarantee today's rates for you if you start the process of re-fixing with them.
 
stebag said:
Current lender. BOI
Outstanding mortgage balance: €287,500
Approximate current value of your property: €430,000
The date you started your fixed-rate mortgage: March 2021
How many years you fixed for: 3
Your current mortgage interest rate: 3%
Your current monthly repayment: €1293.70
Your property's BER: ESTIMATE B3 /C1 (waiting on assessor to come)
Are you due to get extra cashback from your current lender in the future: €3100 in March 2026 (extra 1% in 5 years)
Click to expand...
@stebag Your break fee should be zero at the moment – but confirm it with Bank of Ireland. If it is higher than zero, please post it here when you receive it, including the date of the letter.
  • Switching immediately to Permanent TSB's 5-year green fixed rate (2.35% with €5,749 initial cashback and 2% monthly cashback) will save you about €9,280 over the next 4 years
    • Note that Permanent TSB discriminate between new and existing customers, i.e., their best rates are not available to existing customers
    • For example, if you were an existing Permanent TSB customer right now, the best rate you would be able to switch to today is 2.8%
    • So if you switch to them now, you will not be eligible to switch to one of their low rates in the future and you will end up on a higher interest rate. When that happens, you may want to switch again to another lender, which will incur costs (and it might be impossible to switch if your financial situation has deteriorated).
    • You need a BER of B3 or better to be eligible for this rate

  • Switching immediately to Permanent TSB's 5-year fixed rate (2.55% with €5,749 initial cashback and 2% monthly cashback) will save you about €7,080 over the next 4 years
    • The same warnings as above regarding higher Permanent TSB rates in the future apply

  • Switching immediately to Haven's 4-year green fixed rate (2.5% with €2,000 cashback) will save you about €3,000 over the next 4 years
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site
    • You need a BER of B3 or better to be eligible for this rate

  • Switching immediately to Permanent TSB's 7-year fixed rate (3.0% with €5,749 initial cashback and 2% monthly cashback) will save you about €2,140 over the next 4 years – but with the longer security of 7 years on a fixed rate
    • The same warnings as above regarding higher Permanent TSB rates in the future apply

  • Switching immediately to AIB's 5-year green fixed rate (2.65% with €2,000 cashback) will save you about €1,340 over the next 4 years
    • And it is quite likely that you will be able to make unlimited overpayments without penalty for the foreseeable future (see this thread)
    • You need a BER of B3 or better to be eligible for this rate

  • Switching immediately to AIB's 4-year fixed rate (2.7% with €2,000 cashback) will save you about €780 over the next 4 years

  • Switching immediately to Avant Money's 4-year fixed rate (2.55% with no cashback) will save you about €420 over the next 4 years

  • Switching immediately to Bank of Ireland's 5-year fixed rate (3.0% and you would get the 1% (€3,100) cashback) will not save you or cost you anything over the next 4 years. But it is very simple and quick to do (no bank statements, salary cert or solicitor, etc., needed).

  • Switching immediately to Haven's 7-year fixed rate (3.15% with €5,000 cashback) will leave you worse off by about €1,240 over the next 4 years – but with the longer security of 7 years on a fixed rate
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to Avant Money's 5-year fixed rate (2.75% with no cashback) will leave you worse off by about €1,800 over the next 4 years

  • Switching immediately to Haven's 10-year fixed rate (3.35% with €5,000 cashback) will leave you worse off by about €3,480 over the next 4 years – but with the longer security of 10 years on a fixed rate
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to Bank of Ireland's 10-year fixed rate (3.3% and you would get the 1% (€3,100) cashback) will leave you worse off by about €3,520 over the next 4 years – but with the longer security of 10 years on a fixed rate. And it is very simple and quick to do (no bank statements, salary cert or solicitor, etc., needed).

  • Switching immediately to Avant Money's 7-year fixed rate (3.05% with no cashback) will leave you worse off by about €5,160 over the next 4 years – but with the longer security of 7 years on a fixed rate

  • Switching immediately to Avant Money's 10-year fixed rate (3.5% with no cashback) will leave you worse off by about €10,200 over the next 4 years – but with the longer security of 10 years on a fixed rate

  • Switching immediately to AIB's 10-year fixed rate (3.7% with €2,000 cashback) will leave you worse off by about €10,400 over the next 4 years – but with the longer security of 10 years on a fixed rate

  • Switching immediately to Avant Money's "One Mortgage" (a 3.65% fixed rate with no cashback) will leave you worse off by about €11,880 over the next 4 years – and the interest rate will remain fixed for the remainder of your mortgage term (approximately 27 years)

  • Switching immediately to Finance Ireland's 10-year fixed rate (4.6% with no cashback) will leave you worse off by about €22,620 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below
    • And your interest rate (initially 4.6%) will fall to 4.45% in 4 years and 11 months when you move into a lower loan-to-value bracket (or sooner if you make overpayments or your property increases in value and you get an updated valuation). See the section "How we decide rate reductions" on this page.

  • Switching immediately to Finance Ireland's 15-year fixed rate (4.63% with no cashback) will leave you worse off by about €22,960 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below
    • And your interest rate (initially 4.63%) will fall to 4.48% in 5 years when you move into a lower loan-to-value bracket (or sooner if you make overpayments or your property increases in value and you get an updated valuation). See the section "How we decide rate reductions" on this page.

  • Switching immediately to Finance Ireland's 20-year fixed rate (4.73% with no cashback) will leave you worse off by about €24,100 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below
    • And your interest rate (initially 4.73%) will fall to 4.58% in 5 years when you move into a lower loan-to-value bracket (or sooner if you make overpayments or your property increases in value and you get an updated valuation). See the section "How we decide rate reductions" on this page.

  • Switching immediately to Finance Ireland's 25-year fixed rate (4.88% with no cashback) will leave you worse off by about €25,800 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below
    • And your interest rate (initially 4.88%) will fall to 4.73% in 5 years and 1 month when you move into a lower loan-to-value bracket (or sooner if you make overpayments or your property increases in value and you get an updated valuation). See the section "How we decide rate reductions" on this page.

The above AIB and Haven rates include their rate increases of 14 October 2022. Permanent TSB and Bank of Ireland are expected to increase their rates very soon.

These savings estimates use for comparison the scenario of switching to a 3% rate with Bank of Ireland when the current fixed rate ends. And that's assuming that Bank of Ireland are even offering a 3% rate in March 2024 – it could be higher (or lower). You would get the Bank of Ireland €3,100 future cashback in such a scenario, and the savings estimates account for this. The estimates also account for any fees (solicitors' fees, valuation fee) that you have to pay and any cashback offered by the above lenders.

All of Avant's rates, and Finance Ireland's 10-year and longer fixed rates, allow you to avoid any potential break fee if you move home in the future (as long as you take out a new mortgage with them, and subject to certain conditions). And in the case of Finance Ireland you can "take your mortgage with you" – meaning that you get to keep the same interest rate when you move (provided that at least 3 years have passed since you started the Finance Ireland fixed rate and subject to certain other conditions).

Bear in mind that the interest rates of some lenders are very likely to rise between now and the time that you complete any switch, so if you are thinking of switching you should apply simultaneously to two or more lenders for approval in principle (AIP).

Even though it is usually quick to re-fix with your current lender, it is still possible for rates to rise while you are in the middle of the process, which could potentially leave you worse off than if you had done nothing. Ask Bank of Ireland if they will guarantee today's rates for you if you start the process of re-fixing with them.
 
chester1234 said:
  • Current lender- ULSTER BANK
  • Outstanding mortgage balance (how much you still owe) €83,000
  • Approximate current value of your property - €150,000
  • The date you started your fixed-rate mortgage (month and year) MARCH 2020
  • How many years you fixed for -3
  • Your current mortgage interest rate- 2.2%
  • Your current monthly repayment (excluding any overpayments) -€387
  • Your property's BER (Building Energy Rating) – check it here or estimate it if necessary -D
  • Are you due to get extra cashback from your current lender in the future, e.g., "1% after 5 years", or "2% cashback monthly"? If so, how much (monetary amount) and when? NO
Click to expand...
@chester1234 Your break fee should be zero at the moment – but confirm it with Ulster Bank. If it is higher than zero, please post it here when you receive it, including the date of the letter.

Note: you will receive two separate letters from Ulster Bank a few days apart, and their structure and wording can lead to confusion. Look for the line that says something like: "Based on today's information this would result in an early redemption charge of €X to no longer be bound by this fixed rate." That amount is your break fee. Ignore all other references to break fees/breakage costs.
  • Switching immediately to Ulster Bank's 4- or 5-year fixed rate (2.35% with no cashback) will save you about €1,740 over the next 4 years. And it is very simple and quick to do (no bank statements, salary cert or solicitor, etc., needed).
    • Note that if you decide to do this, your interest rate won't change for 4 or 5 years but your mortgage will soon move onto Permanent TSB's books, and they discriminate between new and existing customers, i.e., their best rates are not available to existing customers
    • For example, if you were an existing Permanent TSB customer right now, the best rate you would be able to switch to today is 3.0%
    • So if you switch to this Ulster Bank offer now, you will probably not be eligible to switch to one of Permanent TSB's low rates in the future and you will end up on a higher interest rate. When that happens, you may want to switch again to another lender, which will incur costs (and it might be impossible to switch if your financial situation has deteriorated).

  • Switching immediately to AIB's 5-year fixed rate (2.95% with €2,000 cashback) will save you about €400 over the next 4 years

  • Switching immediately to Ulster Bank's 7- or 10-year fixed rate (2.8% with no cashback) will save you about €320 over the next 4 years – but with the longer security of 7 or 10 years on a fixed rate. And it is very simple and quick to do (no bank statements, salary cert or solicitor, etc., needed).
    • The same warnings as above regarding higher Permanent TSB rates in the future apply

  • Switching immediately to Haven's 7-year fixed rate (3.15% with €2,000 cashback) will leave you worse off by about €240 over the next 4 years – but with the longer security of 7 years on a fixed rate
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to Haven's 10-year fixed rate (3.35% with €2,000 cashback) will leave you worse off by about €880 over the next 4 years – but with the longer security of 10 years on a fixed rate
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to AIB's 7-year fixed rate (3.55% with €2,000 cashback) will leave you worse off by about €1,520 over the next 4 years – but with the longer security of 7 years on a fixed rate

  • Switching immediately to AIB's 10-year fixed rate (3.7% with €2,000 cashback) will leave you worse off by about €2,000 over the next 4 years – but with the longer security of 10 years on a fixed rate

  • Switching immediately to Finance Ireland's 10-year fixed rate (4.45% with no cashback) will leave you worse off by about €6,460 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below

  • Switching immediately to Finance Ireland's 15-year fixed rate (4.48% with no cashback) will leave you worse off by about €6,560 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below

  • Switching immediately to Finance Ireland's 20-year fixed rate (4.58% with no cashback) will leave you worse off by about €6,880 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below

The above AIB and Haven rates include their rate increases of 14 October 2022. Permanent TSB and Bank of Ireland (not included in the above list) are expected to increase their rates very soon.

These savings estimates use for comparison the scenario of switching to a 3% rate with Ulster Bank when the current fixed rate ends. And that's assuming that Ulster Bank (or Permanent TSB, if they have taken over your mortgage by then) are even offering a 3% rate in April 2023 – it could be higher (or lower). The estimates also account for any fees (solicitors' fees, valuation fee) that you have to pay and any cashback offered by the above lenders.

Finance Ireland's 10-year and longer fixed rates allow you to avoid any potential break fee if you move home in the future (as long as you take out a new mortgage with them, and subject to certain conditions). And with Finance Ireland you can "take your mortgage with you" – meaning that you get to keep the same interest rate when you move (provided that at least 3 years have passed since you started the Finance Ireland fixed rate and subject to certain other conditions).

Bear in mind that the interest rates of some lenders are very likely to rise between now and the time that you complete any switch, so if you are thinking of switching to another lender you should apply simultaneously to two or more lenders for approval in principle (AIP).

Because your outstanding mortgage balance is less than €100k, it is not possible to switch to Avant.

chester1234 said:
Should I wait until March when I get the new rate offers (likely higher?) with no breakage costs , or go with one of the above?
Click to expand...
You are misunderstanding the form from UB that has the rates that you can switch to (which is not surprising since its structure and wording is confusing).

That figure (take the €1,155 figure, for example) is the maximum possible break fee if you switch to UB's 10-year fixed rate now and break out of that rate at any point in the future. (UB cap their break fees at six months' interest, and PTSB will have to honour that cap when they take over your mortgage.)

So your future break fee (if you switch to UB's 10-year fixed rate now) would be anywhere from zero to €1,155.

As explained above, your current break fee is likely to be zero. Look out for a second letter from Ulster Bank, which will contain the break fee.

If you are not interested in switching to another lender, wait for the break fee letter from Ulster Bank and, once it is confirmed to be zero, complete the rate change form as soon as possible.
 
Thanks @Paul F really helpful, got the ball rolling with PTSB and BOI today.

How long is it taking people to switch to PTSB at the moment? I know rate changes are on the horizon and hope I'm not too late to get a switch over the line
 
stebag said:
How long is it taking people to switch to PTSB at the moment? I know rate changes are on the horizon and hope I'm not too late to get a switch over the line
Click to expand...
Anywhere from one to three months, I'd say. It's unlikely that you'll complete the switch before they increase their rates.

You should apply to some of the "non-cashback lenders" too.
 
Thanks again @Paul F... According to your post my next best bet may be to try re -fix with BOI before the rates go up, as all the other options are cashback lenders and any non-cashback lenders leave me worse off!

I'm expecting a call from BOI to discuss my options so I'll feel it out with them then. You're a legend for doing this public service
 
Paul F said:
@chester1234 Your break fee should be zero at the moment – but confirm it with Ulster Bank. If it is higher than zero, please post it here when you receive it, including the date of the letter.

Note: you will receive two separate letters from Ulster Bank a few days apart, and their structure and wording can lead to confusion. Look for the line that says something like: "Based on today's information this would result in an early redemption charge of €X to no longer be bound by this fixed rate." That amount is your break fee. Ignore all other references to break fees/breakage costs.
  • Switching immediately to Ulster Bank's 4- or 5-year fixed rate (2.35% with no cashback) will save you about €1,740 over the next 4 years. And it is very simple and quick to do (no bank statements, salary cert or solicitor, etc., needed).
    • Note that if you decide to do this, your interest rate won't change for 4 or 5 years but your mortgage will soon move onto Permanent TSB's books, and they discriminate between new and existing customers, i.e., their best rates are not available to existing customers
    • For example, if you were an existing Permanent TSB customer right now, the best rate you would be able to switch to today is 3.0%
    • So if you switch to this Ulster Bank offer now, you will probably not be eligible to switch to one of Permanent TSB's low rates in the future and you will end up on a higher interest rate. When that happens, you may want to switch again to another lender, which will incur costs (and it might be impossible to switch if your financial situation has deteriorated).

  • Switching immediately to AIB's 5-year fixed rate (2.95% with €2,000 cashback) will save you about €400 over the next 4 years

  • Switching immediately to Ulster Bank's 7- or 10-year fixed rate (2.8% with no cashback) will save you about €320 over the next 4 years – but with the longer security of 7 or 10 years on a fixed rate. And it is very simple and quick to do (no bank statements, salary cert or solicitor, etc., needed).
    • The same warnings as above regarding higher Permanent TSB rates in the future apply

  • Switching immediately to Haven's 7-year fixed rate (3.15% with €2,000 cashback) will leave you worse off by about €240 over the next 4 years – but with the longer security of 7 years on a fixed rate
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to Haven's 10-year fixed rate (3.35% with €2,000 cashback) will leave you worse off by about €880 over the next 4 years – but with the longer security of 10 years on a fixed rate
    • Warning: it takes a long time to complete a switch to Haven, in the experience of some users of this site

  • Switching immediately to AIB's 7-year fixed rate (3.55% with €2,000 cashback) will leave you worse off by about €1,520 over the next 4 years – but with the longer security of 7 years on a fixed rate

  • Switching immediately to AIB's 10-year fixed rate (3.7% with €2,000 cashback) will leave you worse off by about €2,000 over the next 4 years – but with the longer security of 10 years on a fixed rate

  • Switching immediately to Finance Ireland's 10-year fixed rate (4.45% with no cashback) will leave you worse off by about €6,460 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below

  • Switching immediately to Finance Ireland's 15-year fixed rate (4.48% with no cashback) will leave you worse off by about €6,560 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below

  • Switching immediately to Finance Ireland's 20-year fixed rate (4.58% with no cashback) will leave you worse off by about €6,880 over the next 4 years
    • This product has a benefit in relation to moving home in the future that is explained below

The above AIB and Haven rates include their rate increases of 14 October 2022. Permanent TSB and Bank of Ireland (not included in the above list) are expected to increase their rates very soon.

These savings estimates use for comparison the scenario of switching to a 3% rate with Ulster Bank when the current fixed rate ends. And that's assuming that Ulster Bank (or Permanent TSB, if they have taken over your mortgage by then) are even offering a 3% rate in April 2023 – it could be higher (or lower). The estimates also account for any fees (solicitors' fees, valuation fee) that you have to pay and any cashback offered by the above lenders.

Finance Ireland's 10-year and longer fixed rates allow you to avoid any potential break fee if you move home in the future (as long as you take out a new mortgage with them, and subject to certain conditions). And with Finance Ireland you can "take your mortgage with you" – meaning that you get to keep the same interest rate when you move (provided that at least 3 years have passed since you started the Finance Ireland fixed rate and subject to certain other conditions).

Bear in mind that the interest rates of some lenders are very likely to rise between now and the time that you complete any switch, so if you are thinking of switching to another lender you should apply simultaneously to two or more lenders for approval in principle (AIP).

Because your outstanding mortgage balance is less than €100k, it is not possible to switch to Avant.


You are misunderstanding the form from UB that has the rates that you can switch to (which is not surprising since its structure and wording is confusing).

That figure (take the €1,155 figure, for example) is the maximum possible break fee if you switch to UB's 10-year fixed rate now and break out of that rate at any point in the future. (UB cap their break fees at six months' interest, and PTSB will have to honour that cap when they take over your mortgage.)

So your future break fee (if you switch to UB's 10-year fixed rate now) would be anywhere from zero to €1,155.

As explained above, your current break fee is likely to be zero. Look out for a second letter from Ulster Bank, which will contain the break fee.

If you are not interested in switching to another lender, wait for the break fee letter from Ulster Bank and, once it is confirmed to be zero, complete the rate change form as soon as possible.
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Thanks Paul,
I misunderstood the form thinking it would cost me €1,155 to change now. I will wait for the 2nd letter to confirm and switch ASAP then.
Best Regards..
 
Paul F said:
You should apply to some of the "non-cashback lenders" too.
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stebag said:
According to your post my next best bet may be to try re -fix with BOI before the rates go up, as all the other options are cashback lenders and any non-cashback lenders leave me worse off!
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@stebag Sorry, I was a bit unclear there. The "cashback lenders" are PTSB, BOI and EBS (because they give very large amounts of cashback, often paired with high interest rates).

All of the others can be considered non-cashback lenders, even if they give some cashback. That's because they don't discriminate between new and existing customers on interest rates.
 
Just to update on progress on switching from BOI to AIB.

I first applied via AIB's portal on August 30th. I immediately started working on all the documents. The quicker you are on the ball with them, the quicker you'll move through the reviewing process. For anything that needs you to drop into the branch, i'd recommend to do that as soon as you can as that takes longer to appear on portal for review. And use your bank statements as proof as address as there are some bills they don't take. I used a Sky bill and they didn't accept that. It added about 2 days onto the review.

Sort out your solicitor early and use a competent one that is recommended or you used before and know is quick.

It took 3 weeks for me to get my letter of offer. But they messed up the term in the initial one they issued and had it longer than my life policy. I didn't want to adjust my life policy and had clearly stated a term within the lifespan of it. But they took the actual term left with BOI. Only noticed this when going to sign with solicitor. So highlighted the mistake and they re-issued a new letter of offer. I'd say overall, this added about 2 weeks onto things between getting appointment to sign with solicitor and then having to wait for new letter of offer and new appointment and for everything to be sent into AIB.

Anyways drew down this week. 7 weeks all in. And possibly could have been quicker if the initial letter of offer was correct and i didn't waste some days with the sky bill. Really found AIB's portal to be great and on the ball. I think anything i sent in for review had an update within 2-3 days. And they even approved things on Saturdays. I noticed my letter of offer was even issued on a Saturday.

Also just to add, break fee remained at zero throughout. Well at least at the beginning and end when it matter.

@Paul F Thanks for your help and input during the application.
 
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