Could you get a better rate than your SVR?

If you’re a mortgage holder, it might be time to become familiar with one important mortgage abbreviation: SVR or Standard Variable Rate.

Ups and downs

When an existing deal comes to an end, it’s likely that you’ll be switched to your lender’s SVR. Whether you currently have a fixed rate, tracker or discounted rate mortgage, being moved to an SVR might mean you end up paying over the odds, perhaps without even knowing.

This is because SVRs rarely offer the most competitive rates. The SVR interest rate is usually linked to a percentage above your lender’s base rate, which means it can rise and fall. As a result, you’ll be more exposed to potential interest rate rises in the future. Many experts are predicting that rates will rise in 2022.

Switch to save

It can be difficult to know where to start looking for the best deal. This is where we can help. If you’re locked into a mortgage deal with exit charges, you don’t have to wait until it ends: we can help you find a deal three or six months before your lock-in period finishes. Mortgage rates are currently at record lows, so now could be the perfect time to see if you can save money by switching mortgages.

As a mortgage is secured against your home or property, it could be repossessed if you do not keep up mortgage repayments
Source: moneyfacts.co.uk

15 November, 2021

More news

15 July, 2024

Before the election, property experts Rightmove carried out a survey to ascertain what this new gove
Speed up housebuilding One of the top recommendations was making improvements to the housebuilding process1. Buyer demand has increased by 15% since 2019, but the number of available homes has not inc

12 July, 2024

Recent research has found that 52% of UK working parents do not have a financial protection policy i
Who is not insured? Interestingly, nearly two thirds (65%) of those without protection are in part-time work, while over half (56%) are self-employed and 39% are on zero-hours employment contracts. H

8 July, 2024

Research has revealed the least and most expensive cities to be a first-time buyer (FTB) in the UK.
Aberdeen came out on top as the cheapest, as a typical home costs £102,6011 (assuming that an FTB property has two bedrooms or fewer). The average monthly mortgage payment is £406 if the borrower ha