Good Service - Great 6% Cashback!! (Chelsea Mortgage Service)

Member Name: ordy

Product:	Chelsea Mortgage Service
Date:	25/09/01 (1458 review reads)
Rating:

Advantages: 6% Cashback, Mutual Society - Potential Windfall

Disadvantages: Redemption Penalties

I have recently remortgaged with the Chelsea building society.

The plus side is as follows :-

1. They are giving me a 6% cashback on the mortage and the standard rate is pretty similar to other lendors - some lendors are slightly cheaper, some more expensive.

2. They offer free survey and legal fees, so it is costing me nothing to remortage. The cashback will be used to clear all my credit cards and probably pay for a holiday too, so it is very useful.

3. The whole thing has been done by post and telephone.

4. I didn't have to pay any fees to mortage brokers, who often want up to 1% of the loan and try and sell you insurance etc...

The bad points are :-

1. Some lendors offer slightly cheaper standard variable rates (e.g. Nationwide BS). Chelsea aren't bad, but they certainly are not one of the best.

2. There is no option to fix the mortgage rate so if rates increase there is little protection.

3. There are redemption penalties if you switch lendor within 6 years - you have to pay the 6% back. However if you change to another Chelsea BS product you pay back 1% for every year of the 6 years left of your tie in period.

Overall, a very good experience, and a very useful cashback!!

Summary: