ViciousJake
2013-06-06 17:37:58
- #1
Hello Diamond,
I'll jump in briefly here.
You already know our background, and we have now also spoken with another advisor who doesn’t think much of the combo packages at all, the exact quote here would be censored ;)
He wanted to sell us a 20-year annuity loan. The interest rate would be 3.1-3.2%. I calculated it myself with the same rate we would have to pay. Although with the building society savings plan, we have 2*40€ advance payments included. To be done in the same time and with the same rates, the follow-up interest rate must not exceed 2.92%. That means it would have to be below the current interest rate.
I don’t have a crystal ball, but I do have enough justified doubts that this will be the case.
My calculation when comparing is quite simple: The rate is fixed, the offer where I am finished sooner is better ;)
However, the advisor from the company whose offer you have said that it only applies up to 100,000€.
One more question to Musketier: Admittedly, I haven’t fully calculated it yet, but I don’t quite understand why the advantage shifts towards annuity loans with regular special repayments. Sure, the closing fee of the BS weighs more heavily, but on the other hand, you save even more interest and so on.
Regards, Jake
I'll jump in briefly here.
You already know our background, and we have now also spoken with another advisor who doesn’t think much of the combo packages at all, the exact quote here would be censored ;)
He wanted to sell us a 20-year annuity loan. The interest rate would be 3.1-3.2%. I calculated it myself with the same rate we would have to pay. Although with the building society savings plan, we have 2*40€ advance payments included. To be done in the same time and with the same rates, the follow-up interest rate must not exceed 2.92%. That means it would have to be below the current interest rate.
I don’t have a crystal ball, but I do have enough justified doubts that this will be the case.
My calculation when comparing is quite simple: The rate is fixed, the offer where I am finished sooner is better ;)
However, the advisor from the company whose offer you have said that it only applies up to 100,000€.
One more question to Musketier: Admittedly, I haven’t fully calculated it yet, but I don’t quite understand why the advantage shifts towards annuity loans with regular special repayments. Sure, the closing fee of the BS weighs more heavily, but on the other hand, you save even more interest and so on.
Regards, Jake