Remortgage to save money on your mortgage

Victor Hillary, from Croydon, wanted the best mortgage advice available in the UK and so following a friend’s recommendation he decided to phone L&C Mortgages. Victor was paying a variable rate of 6.50% with BM Solutions on his mortgage of £120,000, which was being paid interest only with a remaining term of 10 years.

As Victor was on a high interest rate, he stood to save money by remortgaging. Having minimal set up costs, saving money and the facility to overpay were priorities.

Victor’s mortgage adviser at L&C recommended that he took an Alliance & Leicester tracker, exclusively available through L&C. Set at 0.11% below the Bank of England Base Rate for 2 years, the mortgage offered a current payable rate of 4.64% - that’s 1.86% lower than Victor’s previous rate. The tracker assisted with all set-up costs, namely no arrangement fee, a refunded valuation upon completion and free basic legal work.

There are no early repayment charges after the 2 years, leaving Victor free to shop around. However, the rate does guarantee to be 1% above base rate for a further 3 years afterwards. Overpayments are allowed: up to 10% of remaining balance can be paid each January.

Victor’s priorities were all met with the new mortgage, and with the drop in interest rate he saved himself £186 a month!

Says Victor: The process was very simple and quick: a couple of phone calls to discuss my requirements and options, and a short form to complete on-line. I am saving more than £4,400 over 2 years. I will certainly be using L&C again.

See also:
Free mortgage advice: our no broker fee policy
Remortgages
Easy guide to remortgaging
Mortgage calculators
Best buy mortgages