| With
fixed rate mortgages your payments will remain the same for
as long as the mortgage is fixed (typically 1-10 years).
At the
end of the fixed period the mortgage will revert to the lenders
standard variable rate applicabl at that time. You will be
able to remortgage at this time, and we will write to you
to remind you and review your options before your payments
change should you choose, however early redemption penalties
may apply.
If the
bank’s base interest rate rises, your payments will not,
which is excellent if you’re on a strict budget.
You’ll always know exactly how much your mortgage payments
will be for as long as the rate is fixed for.
If general interest rates fall below the figure you’ve
fixed your mortgage at, you don’t get to take advantage
of these savings and may have to continue to pay the higher
mortgage rate.
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