The weekend press continued to report on some of the best mortgage deals currently available, highlighting the potential for borrowers to slash their interest rate and make significant savings.
The Sunday Express reported on the benefits of overpaying, particularly at a time when interest rates are at all-time lows. Switching to a better rate but continuing with the same monthly payments could mean clearing the debt a lot quicker and saving thousands of pounds over the life of the mortgage, as could making one-off lump sums or small ad-hoc payments.
Switching mortgage deal may not be possible for all however, as the Sunday Times revealed that some lenders will not allow existing borrowers with mortgages of less than £25,000 to access their best deals, instead transferring them a more costly Standard Variable Rate. There are lenders without set minimum loan criteria, so borrowers are advised to review their options, factoring in any fees involved in switching to make sure it is cost-effective.
In the midweek press, the Daily Telegraph reported on the lenders who have increased the margins on their tracker mortgages for new customers. The move was criticised by some as a profit-boosting measure, but brokers also drew attention to some of the tracker rates that haven’t been increased so far. With the number of changes that have already taken place over the last week however, borrowers are advised to act quickly.
What the papers said about making the most of low rates