yellie38

Hi

The mortgage I took with Banco Andalcuia last February was for 3.75% first year and then Eur +1% for the remainder.  I think a number of us took this option.  As the initial year at 3.75% has come to and end I am advised by BA that the new rate will now be 5.75%.  Has anyone else been advised that Eur+1% = 5.75%.  I think its based on Euribor which is the inter bank lending rate but I didnt think it was as high as 4.75%.

Steve

Steve,

The was a item well covered on a thread about this tine last year if you can find it.

As you say the Banco de Andacia Mortgage offer was  3.75 for the first year then Euribor +1% according to my notes.

I took the Developers Mortgage which is Euribor +1.25% (because I intend to pay off the mortgage early and the subrogation fees are lower.)

The Developers Mortgage effective rate for January according to my  mortgage  statement is 5.375.   That would make the Euribor 4.125 for Jan.

Based on my statement, surely your rate should be 5.12.

This site provides an independent verification of the rates but it does not quite match the BoA figure.

Paul

Steve, this discussion is on another thread from months ago, but its important that people check what they are really being charged what they contracted for.

I took the option of 0.9% set up fee, 3.75 year one and then Euribor plus 1% for subsequent years min. 4% payable.

I have just finished my first year and just received mail from BoA that shows me the payment profile from March 2008 onwards with each of the 12 payments and the rate looks to be listed as 5.75%.

I calculated that I was changed 3.8 on last years and should have been 3.75%, I will check again and intend to go in and see them if I find that I cannot agree with their figures.

If a few of us find differences it will be easier to lean on them en mass.