Independent Insurance Advisors for the West Country
Mortgage Advice Grenville Westinsure
We can provide qualified advice when dealing with many aspects of financial issues involved with mortgages - from equity release to switch and save. If you have an enquiry that requires personal attention - just give us a call to arrange an appointment.
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Contact an Advisor
Our advisors can now be contacted via their own mail box. Simply click through to the our Team Page and you will be able to find the member of staff that you are used to dealing with on a day to day basis. We look forward to hearing from you.
FAQ Sheets
We are building a library of helpful FAQ sheets. They should help you to understand your own specific needs before we start dealing with all your life, personal and commercial insurance policies. The library will also include information about a number of investment issues.
Mortgages - contd.
Standard Variable Rate (SVR) Mortgage
This is the lender's "normal" mortgage interest rate. Each lender sets their own SVR, which then may vary according to the Bank of England rate changes. Most discounted rates are based on the SVR. If you start your mortgage on a fixed or discounted rate then you would normally revert to the SVR once your special terms have expired. Depending on any redemption penalties you may then move your mortgage to a new special deal and lower your payments.
Tracker Rates
Tracker rates track the Bank of England (BoE) base rate and are available on a wide variety of mortgages. The 'tracker rate' can only change when the Bank of England rate changes, and it usually carries an additional fixed interest rate that the lenders charge. For example BoE plus 1.00%. You would pay the BoE base rate plus 1% that the lender charges on top. Overall, this can be cheaper than opting for the lenders SVR.
Discounted Variable Rate
This is based on the SVR less a fixed discounted percentage. You pay the reduced rate for the period of the special product offer. Most lenders have a good selection of discounted rates over different terms. If rates change your 'discounted' rate will also change.
Fixed Rates
This option will fix your interest rate for a set period of time regardless of movements in interest rates during the same period. This provides certainty in knowing the payments will not change, but can be a disadvantage if interest rates subsequently reduce, leaving you at the higher rate.