Wednesday, Feb 18, 2009

Their only option?

Times: Coventry Building Society offers 100% mortgages

Now Coventry is offering existing customers coming to the end of their mortgage deal a new five-year fixed-rate at 4.99 per cent worth up to 100 per cent of a property’s loan-to-value (LTV). The deal comes with no booking or arrangement fees.

Posted by alan @ 03:58 PM (1375 views) Add Comment

11 Comments

1. flintster1994 said...

Doesn't make any sense. If you are in negative equity already what does this new deal mean? 100% LTV on what they value your house to be worth just now? Then what happens to the negative equity portion? Scratches head.

Wednesday, February 18, 2009 04:03PM Report Comment
 

2. paul said...

All they need to do now is convince someone, somewhere to take them up on the offer.

Wednesday, February 18, 2009 04:04PM Report Comment
 

3. A, Sussex said...

Great that there is a willingness to lend. What is the Coventrys SVR? If this is lower than 4.99% then there is no advantage to this deal.

Wednesday, February 18, 2009 04:06PM Report Comment
 

4. 51ck-6-51x said...

Either they mean 100% of loan value (i.e remortgage to fix at 4.99) or they expect the mortgagee to pay off the nequity to get the deal (or some combination such as nequity goes onto SVR or some other rate) one would need to inspect the terms to see if there is a catch I think.

Wednesday, February 18, 2009 04:10PM Report Comment
 

5. flintster1994 said...

Sounds a cracking deal. Pay off your negative equity, and we'll give you a fixed rate higher than what you're currently paying and also higher than our SVR. I can visualise the stampede as I type.

Wednesday, February 18, 2009 04:18PM Report Comment
 

6. 51ck-6-51x said...

ah - higher than there SVR - so it's just some kind of headline grabber then?

Wednesday, February 18, 2009 04:23PM Report Comment
 

7. Si1 said...

it's all very well being negative - but this is just a sign of a building society trying to help out its existing customers - they weren't well known for pushing the market up badly in the past and it's kind of them to help their members out a little going forward.

people complain about antisocial business attitudes of financial companies - and they're right, many of therm have been a disgrace.

but it strikes me that if you have been a reliable saver or a borrower with the Coventry then they will look after you , based on you reciprocating as a reliable customer. fair play to them.

Wednesday, February 18, 2009 04:23PM Report Comment
 

8. 51ck-6-51x said...

^^there=their
sorry I don't usually fall into that one.

Wednesday, February 18, 2009 04:24PM Report Comment
 

9. rm96696 said...

When is this one going to be nationalised?

Wednesday, February 18, 2009 04:59PM Report Comment
 

10. ketha said...

HBOS lend 120% to existing lenders, although they do not publicize this. I'm sure other lenders work the same way. I know it's a quietish news day but this isn't really a story, or rather not 'the' story, just a consequence of everything else.

Wednesday, February 18, 2009 05:14PM Report Comment
 

11. little professor said...

What a splendid deal. Go onto the SVR at 4.74%, or pay a fee to go onto a fixed rate of 4.99%. Yay!

Wednesday, February 18, 2009 05:14PM Report Comment
 

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