Mortgage up in a few months

[magpumpkin]

Can anyone advise me what happens when your fixed rate mortgage finishes? Do you automatically go on to the lenders variable rate? If so do they offer the normal variable rate or would they put you on a higher rate because you have not re-newed? The current variable rate is a lot lower than my fixed rate at present and wondered if it would be better not to renew at all? Your thoughts/advise would be most grateful.

I think you will automatically go onto their variable rate (SVR) unless you sign up for a new fixed rate. Ours runs out in March, so not sure whether to go for a fixed 2 yr or a tracker. This willl be our last renewal, aiming to clear the whole thing off by March 2011.

The only prob with going onto their SVR is what happens if rates go up again, but that may not be too much of a risk at the moment. Who knows.

You automatically go onto the standard variable rate, if you want to fix again they will offer you a new fixed rate and will often charge a fee to do this. Ours came to an end recently and our existing lender offered us a tracker rate for two years with a fee to do this of £7,000 !!! We're changing lender.