Latest news with #Santander
Times
2 days ago
- Business
- Times
How 300,000 homeowners could end their mortgage nightmare
As many as 300,000 homeowners who took out expensive five-year fixes when mortgage rates peaked two years ago could finally save money by getting out of their expensive deals — even if they have to pay a hefty exit fee. The estate agency Hamptons said that homeowners with at least 40 per cent equity who took out a fixed rate mortgage at 5.25 per cent or more two years ago — or 5.79 per cent if they were a first-time buyer with a 10 per cent deposit — could save enough by switching deals to make it worth paying an early repayment charge and any new mortgage fees. Mortgage rates have soared over the past four years, from historic lows of less than 1 per cent in late 2021, just before the Bank of England began increasing its base rate of interest from an all-time low of 0.1 per cent in December 2021. Bank rate then rose 14 times to reach 5.25 per cent in August 2023 before falling more slowly to hit 4.25 per cent in May. Mortgage rates had been rising but then surged in the aftermath of the Liz Truss mini-budget in September 2022 and went even higher the following summer because of worries over persistently high inflation. The average five-year fix at 60 per cent loan-to-value (LTV) — peaked at 5.74 per cent and the average two-year fix peaked at 6.22 per cent, according to the Bank of England. Rates have not returned to their previous lows. The average five-year fix at 60 per cent LTV last month was 4.15 per cent and the lowest rate now is 3.87 per cent from Santander. But they have fallen enough for it to make it cheaper for some homeowners who are a few years into an expensive fix to save by exiting early. Early repayment charges are paid as a percentage of the outstanding loan. They sometimes remain the same throughout a loan's fixed term but typically reduce with the term. For example, the charge can be 5 per cent in the first year of a five-year fix, then fall each year to 1 per cent in the final year. The charges can be paid upfront or added to the new mortgage, where they will incur interest over the loan's lifetime. Repayments on the average 5.74 per cent five-year fix two years ago would be £1,257 a month on a £200,000 25-year mortgage. By now a homeowner would have reduced their loan to £192,378. To get out of that deal after two years would cost £5,771, assuming that the loan had a 3 per cent fee. • Mortgage rule changes could help 16,000 first-time buyers a year If you were able to get the lowest rate on the market of 3.87 per cent, repayments would be £1,054 a month on a 23-year loan. That's £203 a month less than sticking with the old deal, a £7,308 saving over the three years that were left on the old deal. This would outweigh the exit fee and the £999 fee for the new mortgage, and leave you £538 better off. Aneisha Beveridge from Hamptons said: 'Historically, hefty early repayment charges have meant that it's rarely made financial sense for borrowers to exit their mortgage deals ahead of schedule. But the sharp spike in mortgage rates a couple of years ago, followed by their recent descent and the return of sub-4 per cent deals, has created a window of opportunity.' Hamptons' analysis suggests that those who fixed between July and September 2023 would, on average, be better off paying the fee. There were 108,380 five-year fixes taken out in those three months, according to the trade association UK Finance. Five-year fixes made up about 47 per cent of all new deals in that time. This does not include product transfers, where a customer takes a new deal with their existing lender. UK Finance does not provide data on the length of product transfers, only how many there were, but if the same proportion of product transfers were taken on five-year terms, it would increase the total number of five-year fixes taken out in those three months to 295,880. Beveridge said: 'There's now a significant group of homeowners who locked into five-year fixes in the summer of 2023 who could save money by remortgaging, even after factoring in those exit fees. This is even though rates remain higher than the ultra-low levels we saw in the decade before 2022.' • Got an interest-only mortgage? You're truly middle class A mortgage broker will usually not recommend paying an early repayment charge unless all the maths, including fees, is in your favour. This means it can be hard to get advice on situations such as what happened in 2022, when rates were rising and homeowners who had years left to run on cheap deals were wondering if they should pay to get out early to avoid a much bigger shock when they eventually came to remortgage. Chris Sykes from the mortgage broker MSP Financial Solutions said: 'You also need to consider things like fees that you paid to set up the mortgage — solicitor, lender, broker or valuation fees. Are you paying them all again to refinance now? The maths isn't as simple as 'we can save 1.1 percentage points for the next two years and we can pay a 2 per cent exit fee to do that, so it makes sense'. 'I think it could be good advice to break a product if the maths stacks up to, you just have to be careful how you do your maths.' Have you paid an exit fee to get out of an expensive mortgage deal? Let us know in the comments
The Independent
2 days ago
- Business
- The Independent
The changes to lending that could be a leg-up for home buyers
The Financial Conduct Authority (FCA) is proposing and implementing changes to mortgage regulations to make it easier for first-time buyers to get onto the property ladder and stimulate economic growth. These changes include greater flexibility on interest rate stress tests, considering past rent payments as proof of affordability, and altering loan-to-income ratio rules for lenders. The move comes as high house prices, tough existing mortgage rules, and recent stamp duty changes have made home ownership increasingly difficult for many. While some lenders, such as Santander and Nationwide, are already relaxing their lending criteria, mortgage brokers caution that responsible lending and borrowing are crucial to prevent future financial hardship. The FCA aims to balance increased accessibility with market stability, ensuring sustainable home ownership without repeating past financial crises.
Yahoo
3 days ago
- Business
- Yahoo
Bank issues warning over building projects scams after seeing jump in cases
A major bank is seeing a jump in criminals using building works as a ruse to steal customers' money. Criminals may ask for hefty deposits for work around the home or garden to be carried out before disappearing. Or they may make false claims to have qualifications and leave work behind that is severely shoddy or even dangerous. Santander UK highlighted the issue in its quarterly 'scamtracker', which tracks trends in authorised push payment (APP) scams, where people are tricked into transferring money directly to a fraudster. Purchase scams accounted for more than half (57%) of claims received between April and June, Santander said. Within this, there was a 22% increase in the volume of scams involving building works in the second quarter of this year compared with the previous quarter. The bank said this is the fastest rising tactic it is seeing being used by scammers and the most common driver of purchase scams for customers aged 35-plus. A significant jump was seen among customers aged 80-plus, with building works making up more than half (58%) of all purchase scam claims received from this age group, up from just over a third (36%) in the first quarter of 2025. The bank's data also indicated that criminals are homing in on works linked to roofing and gardening or landscaping. Looking beyond just building scams, the scamtracker found that £15.7 million was stolen overall from customers between April and June 2025, which was a 15% decrease compared with the previous three-month period. Chris Ainsley, head of fraud risk management at Santander UK said: 'While the total amount stolen by scammers has declined over the last quarter, don't let this lull you into a false sense of security. 'With longer days and warmer weather, it's a popular time for us all to think about jobs around our homes and gardens, and criminals are capitalising on this, parting customers with more than £700,000 between April and June alone. 'Don't let scammers cast a shadow over your summer and; stay alert to anything that sounds too good to be true.' The bank suggested that, to help guard against scammers, people seek recommendations from friends and family, source several quotes before agreeing to work and be wary of anyone cold calling. It said people should not feel under pressure to agree a deal on the spot. Alongside building scams, Santander also highlighted a growing trend of criminals sending scam text messages purporting to be from organisations such as utility companies, government bodies, or linked to winter fuel payments or penalty charge notices. Fake messages may link to a website that asks customers for their card details and allows criminals to register their card to a new digital wallet. Data from the bank shows that scam claims involving in-app digital wallets have increased by more than 70% in the second quarter of this year, compared with the first quarter, with more than £1.8 million stolen between April and June 2025.
The Independent
3 days ago
- Business
- The Independent
Bank issues warning over building projects scams after seeing jump in cases
A major bank is seeing a jump in criminals using building works as a ruse to steal customers' money. Criminals may ask for hefty deposits for work around the home or garden to be carried out before disappearing. Or they may make false claims to have qualifications and leave work behind that is severely shoddy or even dangerous. Santander UK highlighted the issue in its quarterly 'scamtracker', which tracks trends in authorised push payment (APP) scams, where people are tricked into transferring money directly to a fraudster. Purchase scams accounted for more than half (57%) of claims received between April and June, Santander said. Within this, there was a 22% increase in the volume of scams involving building works in the second quarter of this year compared with the previous quarter. The bank said this is the fastest rising tactic it is seeing being used by scammers and the most common driver of purchase scams for customers aged 35-plus. A significant jump was seen among customers aged 80-plus, with building works making up more than half (58%) of all purchase scam claims received from this age group, up from just over a third (36%) in the first quarter of 2025. The bank's data also indicated that criminals are homing in on works linked to roofing and gardening or landscaping. Looking beyond just building scams, the scamtracker found that £15.7 million was stolen overall from customers between April and June 2025, which was a 15% decrease compared with the previous three-month period. Chris Ainsley, head of fraud risk management at Santander UK said: 'While the total amount stolen by scammers has declined over the last quarter, don't let this lull you into a false sense of security. 'With longer days and warmer weather, it's a popular time for us all to think about jobs around our homes and gardens, and criminals are capitalising on this, parting customers with more than £700,000 between April and June alone. 'Don't let scammers cast a shadow over your summer and; stay alert to anything that sounds too good to be true.' The bank suggested that, to help guard against scammers, people seek recommendations from friends and family, source several quotes before agreeing to work and be wary of anyone cold calling. It said people should not feel under pressure to agree a deal on the spot. Alongside building scams, Santander also highlighted a growing trend of criminals sending scam text messages purporting to be from organisations such as utility companies, government bodies, or linked to winter fuel payments or penalty charge notices. Fake messages may link to a website that asks customers for their card details and allows criminals to register their card to a new digital wallet. Data from the bank shows that scam claims involving in-app digital wallets have increased by more than 70% in the second quarter of this year, compared with the first quarter, with more than £1.8 million stolen between April and June 2025.
The Sun
5 days ago
- Automotive
- The Sun
Diogo Jota's heartbroken wife Rute Cardoso visits Anfield with Liverpool stars to lay flowers and view loving tributes
DIOGO Jota's heartbroken wife visited Anfield to view the tributes left for her husband. Rute Cardoso, 28, hugged two children as she looked at the sea of flowers, teddies, scarves, football shirts and messages. 5 5 5 Liverpool players also carried flowers in tribute to Jota, who died in a car crash with his brother Andre Silva. There will be a rendition of You'll Never Walk Alone and a minute's silence on Sunday at Liverpool's friendly at Preston North End. Dad-of-three Jota, 28, and Silva, 25, died when the Lamborghini they were in burst into flames after a suspected tyre blowout. He had married partner Cardoso just 11 days before the crash. Police said Jota was driving when he crashed his rental acid green Lamborghini near Zamora, Spain, on July 3. The brothers were en route to the Spanish port city of Santander to catch a ferry to the UK after the Portugal star was urged not to travel by plane following lung surgery. They were laid to rest after a heartbreaking funeral attended by his family, friends and Liverpool teammates last Saturday. Tributes poured in from around the world, with , Oasis and Cristiano Ronaldo among those who mourned the loss of the brothers. Liverpool stars Virgil Van Dijk and Andy Robertson led mourners with two touching wreaths emblazoned with Diogo's number 20 and André's number 30. Portugal's head coach Roberto Martinez spoke after the ceremony and described how the days since their tragic deaths had been 'really, really sad' but the funeral today showed 'we are a very large, close family'. Martinez went on to say it was 'essential' for Portugal to show 'we are together,' adding the brothers' spirits will be 'with us forever'. He said: 'So thank you very much for your messages and for your support and everything that we receive [from] all over the world. 'Today we are all one football family.' Liverpool manager Arne Slot was there with his players - including Reds stars Joe Gomez, Darwin Nunez and Alexis Mac Allister. Former teammates Jordan Henderson and James Milner were also in attendance. Some of Jota's international teammates present at the ceremony were Manchester United captain Bruno Fernandes, Chelsea's Joao Felix and Manchester City 's Bernardo Silva. A huge crowd of mourners gathered outside the church and showed support for the brothers' friends, family, coaches and teammates as they walked in procession. The service was private but a live audio feed was played outside the church. Addressing Jota's children, who were not at the service, as well as their mother and grandparents, the Gondomar priest was heard saying in the broadcast: "There are no words, but there are feelings. "We also suffer a lot and we are with you emotionally." 5
