to persist with it, and to replace it with a variable arrangement
that takes account of the change in circumstances. However,
lenders generally tend to protect themselves from such actions
by including, and if necessary invoking, a contractual penalty
clause for early settlement.
So to a
large degree the question of whether to seek a fixed rate mortgage
deal or a variable arrangement depends a great deal upon whether
one prefers to opt for safety first or to take a chance on the
market moving in the right direction. The latter is a better
option for those with the confidence to be speculative in their
It is unlikely
that fixed rates will vary radically from one reputable provider
to another. However it is the amount payable, the repayment
period and any buy-out clause that will differentiate one from
another, and in these areas it is important that the borrower
is successful in achieving the deal that gives peace of mind.
site will be able to provide all the information a potential
borrower needs both on the pros and cons of taking out a fixed
rate mortgage as opposed to any other kind, and also on the
various options available to those who plump for this particular
of fixed rate mortgages over other more flexible options should
not blind us to the drawbacks of becoming committed to a regular
repayment that makes no allowance for improving economic conditions.