Mortgage brag

[Nicole013]

So our mortgage is up for renewal in November. The credit union where we do most of our banking has a promo rate on for 3.59% for 5 years. Our mortgage is with one of the big banks; the general rule of thumb is to borrow from the big banks because they usually have more competitive rates.

So I call the credit union to ask about the mortgage and they give me the details. The only drawback is that we would have to apply by Wednesday and have everything done within 60 days - which means we'd be paying a penalty on our existing mortgage.

I phoned TD to see what the penalty would be (around $3000 which, with property taxes due now is not feasible and would take a loan from the bank of Mom and Dad). And then they offered us early renewal, no penalties and 3.69%, starting July 1 (down from 5.35%). We lowered our payments but will probably bump them up next year when our car loan is paid off.

:happy dance:

[spinknas]

nice! great rate!

[grannyg]

Got to love the different rates, bank hate to lose business,,,
BTW that works with credit cards... as well

[lsunderl]

We're around the same! Good work!

[Angels9321]

Way to go!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

[deniconn]

Good Job!!!

[Sunraven]

Most banks offer early renewal up to 3 mths prior if you renew with them.

[Luckster]

Amazing!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! Probably one of the best brags here!!!

[Lovetopayless]

Good for you That is a great rate

[hollyquaiscer]

That a great rate! WTG

[Shwa Girl]

So our mortgage is up for renewal in November.

I phoned TD to see what the penalty would be (around $3000 which, with property taxes due now is not feasible and would take a loan from the bank of Mom and Dad). And then they offered us early renewal, no penalties and 3.69%, starting July 1 (down from 5.35%). We lowered our payments but will probably bump them up next year when our car loan is paid off.

:happy dance:

That's fantastic!
You got the big bank to negotiate your rate down PLUS no penalty.
[bowing to the master negotiator]

[daddy_of_2_girls]

wow awesome rate...I renewed our in 2009 and we got 3.70% and I thought that was good...yours is better.

[Mommy135]

WOW!! Now that is EXTREME!!!!

[Nicole013]

I have a theory that, now with initial mortgages being harder to get, banks are working harder at keeping the customers they have. I expect I could have gone back to the credit union and told them, okay, if you pay costs, but that would have been a lot of running around. And I have better things to do with my time.

[coley3]

Great negotiating. We did this too sort of. But we went with a mortgage broker. You can get early renewal up to 3 months before your mortgage renewal date.

So our bank offered us an interest rate. Then we went to a mortgage broker. You don't pay them. They get paid when they sign a mortgage. So its free. Anyway they check with all the banks to get you the best interest rate. So we got a wicked deal through them. Went back to our bank and they agreed to match it. But we thought if we were such loyal customers why did we need to fight to get the best deal. So we went with the mortgage broker. Well you don't really go with them. You just set it up through them. Our mortgage was through the Royal Bank. But now it is through First National bank (they have a building in Calgary. So right near here). We have had them for 6 years now. They are awesome and if we need something or have a question I call and someone answers right away. It was the best decision we ever made. All the rest of our banking is still through the Royal Bank though.
So if you have not signed your papers yet I would check with a mortgage broker first. You could get an even better deal yet. 3.69% is pretty great though.