Pilgrim Slight Return says:
May 19 2021 at 11:52 am
My mortgage lender – Nationwide – has just put me on a floating rate mortgage as we have just come out of a fixed rate which has ended after 15 years.

We have never missed a payment and they told us that there is no other option but a floating rate since the mortgage expires in December.

You’d think they’d not bother to end the fixed rate wouldn’t you? But no – they did that during Covid and now we are more anxious just in case because of the floating crap we’ve never believed in. We’ve been with them for 20 years.

A fixed rate mortgage set in 2006 would, presumably, be rather more expensive than a floating rate today. But note what the complaint actually is. He’s exposed to floating rates for 7 months on the last, well, 7 month’s worth, of his mortgage. It’s a pittance any way you look at it.

But this is the best bit:

Richard Murphy says:
May 19 2021 at 1:12 pm
That’s pretty crap

Remortgage time?

Refinance a 7 month mortgage?

21 thoughts on “Snigger”

  1. But aren’t mortgages neoliberal patriarchial mumble mumble something evil dark side something.

  2. In a competition between the worlds dumbest blogger and his greatest sycophant as to who is the least intelligent , I declare a draw.

  3. The sweet smell of bullshit is floating in the air: a fixed rate loan that was not coterminous with the mortgage agreement! How the Hell did that happen unless he is just making shit up. Perhaps he extended the loan term without extending the terms of the loan – if that is even possible.

  4. As I am in the retail FS game I can confidently assert that the only people that win out of re-mortgaging are mortgage brokers. And the best value mortgage is always a base rate tracker at the lowest spread. Both Murphy and his commenter are clueless.

  5. Diogenes

    I wouldn’t trust Pilgrim Slight Return to tell me the time of day without me thinking its a lie. A lickspittle worse than the ‘Three horsepeople of the apocalypse’ who used to post there – Andrew Dickie, Carol Wilcox and Howard Reed, all of whom were among the most evil commentators extant in cyberspace today, and probably as close to pure evil as you’ll see outside the confines of the Dark Web….

  6. I’m with the Nationwide too, and they would let him remortgage for the stub term. Either he’s as thick as pigshit or he’s lying through his teeth. Or both.

  7. Ducky McDuckface

    This is just hilarious – this nerk got a mortgage back in 2006-ish, when base was around the 5% mark, so he’s paying a spread over that.

    Rates collapse after that – and the fool didn’t change the mortgage then? Muppet’s been paying well over the odds since 2008.

    And, it looks like a strange term – 15/16 years instead of the normal 20/25 – so the final months being floating was probably in the deal from the off.

    What a twat.

  8. VP, I am surprised that Mike Parr is not on your list

    h**ps://www.taxresearch.org.uk/Blog/2021/04/10/this-is-a-moment-to-reflect/

  9. Bloke in North Korea (Germany province)

    He could put the remaining pittance on his credit card if fixed rates are his thing.

  10. Dennis, Oops... The Spurs' Latest Ex-Manager

    You can’t make this stuff up. No one would believe you.

  11. The Meissen Bison

    Ah, Pilgrim Slight Return. I once tried posting there as Pilgrim Slight Retard but I was sussed. I liked to think that it was the adverb of degree which blew it for me.

  12. How in the hell is the rate agreement not for the duration of the mortgage?

    And how is the discrepancy only 7 months?

    Sounds like bullshit to me.

  13. According to nationwide website a terminating fixed rate will move to 2.1% yet he is saying he is being put on 3.59% – but is writing a ‘mr angry ‘ letter .
    I tried to post with above but Murphy won’t let it through – as I also have history on his blog
    Really worried about sad sack PSR – good job he has a sinecure in local government

  14. “And their inflationary impact is also temporary”

    Spud’s back peddling on his “no inflation” claim. There might be some. Caused by evil space monkeys probably. But the impact will be temporary.

    Funny, as my take is that if prices doubled tomorrow and were then fixed, annual inflation would be 100% but drop to 0% after 366 days. But there’d still be an impact.

  15. @Agammamon
    Unlike in the US, it’s very uncommon for a fixed rate to last the full term of a mortgage over here. For a typical 25y mortgage you might get a fixed rate for the first 2-5y, then go onto the standard variable rate. Or more likely, remortgage and get a fixed rate from another lender.
    A 15y fixed rate would be pretty rare too – I can only find one lender offering such right now.

  16. But in any case during the last 7 months the interest portion of the mortgage will be close to zero, so as Tim implies we’re talking about a few pence of difference.

    But yeah, I call bollocks on the whole thing.

  17. Ducky McDuckface

    Price and size?

    Though I can’t see Nationwide (or anyone else for that matter) flogging those in 2006.

    Still…

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