View more on these topics

Boost for longer-term availability

Woolwich has introduced this 10-year fixed-rate deal to help boost the availability of longer-term mortgages at a time when there is increased volatility in the mortgage market.

John Charcol product specialist Katie Tucker says: “This is easily the market leading 10-year fix, with a rate lower than two, three, or five-year fixes, except those with a big fee.”

She likes the fact that, as with all Woolwich residential products, free valuation and free legal fees are available for remortgages.

However, Tucker is critical of the early redemption charges. “The main downsides are the high ERCs of 6 per cent throughout the 10 years and the fact that the ERC-free overpayment facility is 5 per cent. Also, as with all Woolwich products except the offsets, any overpayments which are re-borrowed are charged at SVR,” she says.

According to Tucker, there are not any similar deals that can touch the Woolwich product in terms of rate. “RBS has one at 5.64 per cent which is only a better choice for higher LTVs up to 95 per cent and if you think you need lower ERCs in the final years, as it reduces to 4 per cent, 3 per cent, 2 per cent and 1 per cent at the end. However, Halifax has a 6 per cent ERC all the way through.”

Tucker concludes: “The portability situation is very good. Despite the maximum LTV at this rate being 60 per cent, the mortgage can be ported at any LTV up to 95 per cent. Borrowers also have up to six months from redemption to port it to a new property.

“This compares very favourably with Halifax, which will not allow any leeway at all for porting between the sale and purchase date. It must be simultaneous with Halifax or it cannot be ported.”

Recommended

EC poised to give GPP auto-enrolment the go-ahead

The European Commission looks set to agree that employees can be auto-enrolled into group personal pensions when personal accounts are introduced in 2012. Money Marketing understands that the EC has already informally agreed that this can go ahead but that written confirmation is yet to be received by the Department for Work and Pensions. When […]

UNIFi Partners opens its unsecured portal

UNIFi Partners has announced it is to open its unsecured portal to affinity partners.The portal is currently available for use by its broker members but UNIFi says it will now accept applications through lenders who have declined loans to customers but would still like to find them a product. UNIFi launched the portal last year […]

Cofunds adds J M Finn funds

Private stockbroking firm JM Finn & Co has made its UK fund range available on investment platform Cofunds.The two funds listed by JM Finn & Co, which manages around £4billion for its clients, are the CF JM Finn UK Portfolio and the CF JM Finn Global Opportunities fund.JM Finn & Co director Simon Temple-Pedersen says […]

Positive Solutions’ Reeve joins Aifa council

Positive Solutions chief executive Jim Reeve has been co-opted to the Aifa council.He replaces Alexander Forbes managing director Tim Morgan, who is moving to South Africa. Reeve joined Positive Solutions as chief executive in September 2007.He worked for Barclays as managing director of its financial planning arm and before that he was with the Zurich […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com