Ulster Bank/First Active only cutting mortgages by .5%

Orion

http://www.irishtimes.com/newspaper/breaking/2008/1205/breaking36.htm

My mortgage is with First Active and I'm remortgaging in the new year for an extension. I'll be switching back as part of it unless they pass on the full rate. ****.

dr.bollocko

Can some kind soul tell me about what AIB's intentions are as regards this here interest rate cut?
It doesnt mention them in the above article and I have to feckin well move apartments so no time to go searching. Starting that moving aaaaany minute now. May not have net access for a day or two because of this. But don't worry my armies of fans. I will be back with an internet vengeance come monday.

rainbowtrout

dr.bollocko wrote: »

Can some kind soul tell me about what AIB's intentions are as regards this here interest rate cut?
It doesnt mention them in the above article and I have to feckin well move apartments so no time to go searching. Starting that moving aaaaany minute now. May not have net access for a day or two because of this. But don't worry my armies of fans. I will be back with an internet vengeance come monday.

yep they're passing it on... from same article:

Yesterday, AIB, Bank of Ireland and Halifax-Bank of Scotland (Ireland) confirmed they would pass on the full reduction to customers on variable mortgage interest rates.

Terry

Moved from AH.

This is the right place, yeah?
Send it back if it's not.

rameire

Macros42 wrote: »

http://www.irishtimes.com/newspaper/breaking/2008/1205/breaking36.htm

My mortgage is with First Active and I'm remortgaging in the new year for an extension. I'll be switching back as part of it unless they pass on the full rate. ****.

Would you not think of fixing in the new year, the standard variable rate is not the best rate by any means in any bank, and trackers are very very hard to come by anywhere now. so fixed rates might be the best option, with fa or elsewhere.

adox

I would say the time to start thinking about fixing would be towards the end of next year.

Orion

Time to fix is probably 1st/2nd quarter. They're already talking about the ECB rate dropping to 1% in Mar/Apr and it's almost a cert that it'll be under 2%. BOI still quoting 4.9% for 5years for switchers but that's going to drop soon - probably to 4.4/4.5%.

I'll be remortgaging early in the year anyway - we're planning a big extension. Switching mortgage is relatively easy and if this is the way FA wants to play they'll lose my business even if we don't build on. Remortgage costs = ~€1500 including reregistering the deeds. Savings of .5% = ~€1000pa on our mortgage. That's not including increasing our debt - that's on our existing loan which is about 40% LTV.

We'd be adding about 80K to increase our LTV to about 60%. So fixing - once the rate changes is very attractive either way.

BuffyBot

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