LLOYDS 100% mortgage8 Feb 2019 00:00
So having read this a few times, let me put something to you:
LLOY is now advertising the 100% mortgage for new home owners. Rate: 2.99%.
The catch is - someone (guarantor) has to inject 10% of the loan (mortgage) into a savings account for a minimum of 3 years, at a "very attractive"........wait for it....2.5%??
Why not give the 10% deposit to the mortgage applicant instead, who then knocks this off the original mortgage loan requested, thus saving 10% of the loan @ 2.99%...and pay this 2.99% interest instead - to the guarantor?
That way, the guarantor makes interest @ 2.99% instead of 2.5%.
Applicant is not affected. Guarantor makes an extra 0.49% interest..
Oh, I get it....LLOY wants to benefit from the mortgage PLUS the new saving plan.....
Seriously - have I missed something or is this taking the proverbial?