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Skipton BS lowering mortgage rates


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https://bestadvice.co.uk/skipton-to-reduce-residential-rates-for-new-customers/

 

The multiple EA chain owning BS is lowering rates despite the banks raising them. 

This screams desperation to me and they must be desperate to keep prices up. 

 

The question has to be asked... When house prices fall are the Skipton BS bankrupt. 

Ive had my suspicions about them for some time 

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Somebody posted an article on here a week or two ago, the gist of which I forget, but it was basically a stealth advert for Skipton, and reeked of desperation. In it they were very bullish, tried to engage people's FOMO (BTL if I recall correctly), and were offering something or other. 

I had a one year growth bond with them a year back, and they then offered the second best rate, second only to Metro. I wondered then why they were offering almost the best rate, and like you, it raised my suspicions. 

I'm glad it matured and I since pulled my money out.

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My savings rates have dropped pretty horrifically over the past 12 years so I'm glad they're offering some customers a bit of a benefit off the back of this.

Building societies are there for (some of) their members after all.

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Somebody posted an article on here a week or two ago, the gist of which I forget, but it was basically a stealth advert for Skipton, and reeked of desperation. In it they were very bullish, tried to engage people's FOMO (BTL if I recall correctly), and were offering something or other. 

I had a one year growth bond with them a year back, and they then offered the second best rate, second only to Metro. I wondered then why they were offering almost the best rate, and like you, it raised my suspicions. 

I'm glad it matured and I since pulled my money out.

Start Last year i was seeing adverts from funding circle offering i-pads and stuff like that for new investors. It set off alarm bells in my head so started withdrawing my cash. Then it turned out loads of others were pulling out. 

I got my cash back a couple of weeks before the started charging for removals then stopping people cashing out entirely. 

If you get the feeling something is not right, you're probably right. 

 

In 2007 it was those banks offering the best deals, same would be true if they are offering double what everyone else is.

 

Skipton bs, imho. Is a goner at some point. 

 

Edited by TheCountOfNowhere
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Skipton bs, imho. Is a goner at some point. 

Skipton has the bulk of the Lifetime ISA market. Most FTBers i know have a LISA with Skipton and i have one too. The LISA withdrawal charge was dropped this year and Skipton seemed a bit too tardy for my liking in offering information on how to do this. 

They do make me nervous. I'm planning to withdraw the lot soon as i'm now buying without a mortgage, but i maintain the account just on the off chance there's a future FTB bribe that lets me withdraw and keep the bonus. Unlikely but not impossible.  

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It might just be rich pensioners with even less to spend their money on, and safe or enhanced incomes over lockdown, putting their money in rubbish low rate building societies by the millions and said building societies not having anything else to to with the spare money. That's a blind guess.

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It might just be rich pensioners with even less to spend their money on, and safe or enhanced incomes over lockdown, putting their money in rubbish low rate building societies by the millions and said building societies not having anything else to to with the spare money. That's a blind guess.

NW accesses the money markets, the put through a resolution a few years bsck to allow it, i.e.  They're not really a mutual. Not sure about skipton tho. 

 

NW I'd wager are filling their boots on 0.1% debt not giving a flying #### about their supposed mutual savers 

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NW accesses the money markets, the put through a resolution a few years bsck to allow it, i.e.  They're not really a mutual. Not sure about skipton tho. 

 

NW I'd wager are filling their boots on 0.1% debt not giving a flying #### about their supposed mutual savers 

YBS has done for many years too. But what if they have a glut of savings to deal with?

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They'd lower rates... And if np ones borrowing... Lower them again..... 

 

Hmmmm, makes sense now 

Just a guess. I may be way wrong!

But building societies have limited tricks up their sleeves and tend to be very unsophisticated.

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The rates are nothing that special, 85% LTV at 2.99% + £995 fee. Halifax have a lower rate (with a big fee) TSB are on the same rate + fee, First Trust seem to be the cheap outlier.

Though I'm less concerned about borrowing from a bankrupt bank or building society, than saving with one.

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Skipton has the bulk of the Lifetime ISA market. Most FTBers i know have a LISA with Skipton and i have one too. The LISA withdrawal charge was dropped this year and Skipton seemed a bit too tardy for my liking in offering information on how to do this. 

They do make me nervous. I'm planning to withdraw the lot soon as i'm now buying without a mortgage, but i maintain the account just on the off chance there's a future FTB bribe that lets me withdraw and keep the bonus. Unlikely but not impossible.  

That's quite a big hit to take, is it not worth buying with a nominal mortgage and then clearing it.   

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Skipton has the bulk of the Lifetime ISA market. Most FTBers i know have a LISA with Skipton and i have one too. The LISA withdrawal charge was dropped this year and Skipton seemed a bit too tardy for my liking in offering information on how to do this. 

They do make me nervous. I'm planning to withdraw the lot soon as i'm now buying without a mortgage, but i maintain the account just on the off chance there's a future FTB bribe that lets me withdraw and keep the bonus. Unlikely but not impossible.  

When I spoke to them recently they were very helpful and up front about the terms of their LISA, including the temporary / current option of a no-loss withdrawl due to Covid.

Presumably they're covered by the FSCS so if they go tits up LISA holders should get their money back; the assumption being that if you wanted to keep your bonus your reimbursed funds would have to be paid into a LISA from another provider..

Edited by ftb_fml
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https://bestadvice.co.uk/skipton-to-reduce-residential-rates-for-new-customers/

 

The multiple EA chain owning BS is lowering rates despite the banks raising them. 

This screams desperation to me and they must be desperate to keep prices up. 

 

The question has to be asked... When house prices fall are the Skipton BS bankrupt. 

Ive had my suspicions about them for some time 

You never know, they might be 10% next year.

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That's quite a big hit to take, is it not worth buying with a nominal mortgage and then clearing it.   

I did consider that yes. It would make the most sense but the last few properties I was looking at were unmortgageable renovation projects (think derelict country cottages) so, as is likely, I wouldn’t be able to use a mortgage anyway. I was investigating if there was a niche ‘mortgage for unmortgageable property’ product just to release the LISA bonus but I couldn’t find anything.

 

assumption being that if you wanted to keep your bonus your reimbursed funds would have to be paid into a LISA from another provider.

Last time I looked there was only 1 other LISA cash provider. It may have been Yorkshire Building Society. Either way though in the event of Skipton going under there would be a huge number being ported to another single provider. Inevitable delays and sad faces about to complete with lives ruined. Surely just easier to payout cash with the bonus maintained and avoid those scenes? 

Edited by sammersmith
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This screams desperation to me and they must be desperate to keep prices up.

One small lender lowering theior interest rate is never going to distort the market or keep falling prices up 

 

The question has to be asked... When house prices fall are the Skipton BS bankrupt. 

Ive had my suspicions about them for some time 

Really - you spend your own time thinking about a small lender? !

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I did consider that yes. It would make the most sense but the last few properties I was looking at were unmortgageable renovation projects (think derelict country cottages) so, as is likely, I wouldn’t be able to use a mortgage anyway. I was investigating if there was a niche ‘mortgage for unmortgageable property’ product just to release the LISA bonus but I couldn’t find anything.

Last time I looked there was only 1 other LISA cash provider. It may have been Yorkshire Building Society. Either way though in the event of Skipton going under there would be a huge number being ported to another single provider. Inevitable delays and sad faces about to complete with lives ruined. Surely just easier to payout cash with the bonus maintained and avoid those scenes? 

I had a quick google last night and apparently The Nottingham BS offer LISAs too. But yes, I thought similar in the absence of any suitable alternatives. The gov. would probably try to get get away with fobbing off FTBs by just returning their capital and pittance interest, then hopefully with enough pressure be persuaded to reimburse the additional 25% subsidy too.

I can certainly see how a media campaign and sadfaces all round outside properites that had become out of reach could push the government to give a full refund. It would be an easy human interest story and a legit point that for those with minimal deposits losing 20% of what they thought they had could well mean the difference between being able to "afford" their first property and not.

Hopefully it won't come to that though!

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One small lender lowering theior interest rate is never going to distort the market or keep falling prices up 

Really - you spend your own time thinking about a small lender? !

All day, yes, all day long, I sit outside the Skipton Offices awaiting their next notification.

You seem to be offended by me you should bloke me as I dont really want to be replying to your pish again.

 

 

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All day, yes, all day long, I sit outside the Skipton Offices awaiting their next notification.

You seem to be offended by me you should bloke me as I dont really want to be replying to your pish again.

Sorry - no offence meant. A bit of banter.  No one will ever offend me on a forum. 

A forum is a place where people listen to other ideas and exchange ideas not  a place where we all have to agree and pat each other on the back and say how right we all are and everyone else is wrong/mad/stupid etc.  

If I do not agree with someone does not agree with me it is fine - it would be a boring world if everyone thought the same and did that same.  

 

 

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  • 439 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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