The Mrs and I are moving home and we will need a £150k mortgage.
We meet all the critera and the loan is easily affordable.
The high steet bank offers two rates for the deal we are looking at. Say 1.80% with a £999 fee or 1.82% with no fee. The mortgage is to be for 10 years. Everything else is equal.
The person we were dealing with insisted the deal with the £999 fee is the one to go for and would not understand that the higher percentage rate is going to be cheaper for us in the long run i.e. £150,000 x 0.02% x 10 years = £300 so £699 cheaper!
This sort of thing makes me want to move my custom elsewhere, but the bank actually has a good deal so might end up sticking with them - but why do they try and take us for idiots!
If I took the loan with the fee would I have a valid mis-selling claim later on ;-)
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