For many homeowners, mortgage admin is the sort of job that gets pushed down the list until it becomes urgent. The fixed rate is ticking along, the payments are familiar, and it is easy to assume there is time yet. But more borrowers are now taking a look at their next deal well before their current one ends. Not because they want to make life complicated, but because waiting until the last few weeks can leave them with less room to move.
That change in behaviour has been helped by the Mortgage Charter. Under the Charter, participating lenders allow borrowers approaching the end of a fixed deal to secure a new rate up to six months in advance. If a better like-for-like deal becomes available with the same lender before the new term starts, they can also ask to switch to that instead.
What Locking In Early Actually Means
Securing a deal six months early does not usually mean leaving your current mortgage before your fixed term ends. It means putting your next rate in place ahead of time, ready for when your existing deal finishes. This provides space to compare what your current lender is offering against what is available elsewhere.
It also reduces the chance of falling onto your lender’s standard variable rate. These rates are typically higher and can change at the lender’s discretion.
If your current mortgage deal is due to finish this year, it may be worth reviewing your options sooner rather than later and taking advice on what suits your circumstances.
Get in touch with Turney & Associates Limited for support and guidance.
