Hi Shell C

I am in a similar position, but with Abbey, however am suprised the rate in which you are moving too....is that right, i am with Abbey, fixed at 5.84%, but this ends at the end of december, and goes to their SVR currently 4.24%. This will save me approximately £200 a month. But I did call them only last month, as you can contact them up to 4 months prior to your deal ending, and they have stated, quite flatly, that they have no deals for customers like me, in neg equity, and will still remain on their SVR.

I am on interest only and have been since the start of my rate 2 years ago, but i am keen to move to repayment and wanted to fix @ a new rate. However they simply stated that they couldnt offer me anything.

He pointed out, that if I stayed on IO my payments would be approx £200 a month cheaper, which I would either bank, making a yearly payment of £2400 off my mortgage, (bearing in mind their SVR would have to remain the same) or I could switch to repayment, and my payments would be £504, slightly less than i am paying now, but if rates continue to rise, then I dont think i would be able to afford the increases without them being fixed.

I bought my first house in 1995, towards the end of the last recession and I still have my statements from that time, and the interest rate, with Nationwide, fixed for 2 years then, was 8%...

I have just come to the end of a 2yr fixed rate mortgage with A&L. Is it worth finding out if they would offer us another fixed term product as we currently owe more than the house value? Our previously monthly repayment was at the top of what we can afford, frrom 1st of oct the interest rate will be 2.49% reducing our monthly repayments by £350 per month.

We were going to put the extra £350 to one side everymonth incase the intrest increases at a later date and if not we'll pay it off the mortgage.

Thanks in anticipation.