My 'fixed' mortgage rate - is it really?

[markus33]

Can anyone tell me why the monthly payments on my so called fixed rate with halifax went down last year when their SVR was lowered to 7.25% but has not dropped now their SVR is 5%.

[factor-fiction]

My understanding of fixed rate is that the rate is fixed. If that was the deal you signed up to then it's unfortunate. Sometimes fixed rates work in your favour, sometimes they don't.

[factor-fiction]

Sorry, I submitted before I'd finished. I meant to add :
" But I can't however explain why, they would have reduced it last year, but maybe there is some small print which means that the fixed rate is not fully fixed and can come down if base rates fall significantly- so maybe if you wait it will change. I suggest you look at your mortage T&Cs.

[EverClean]

Ask the Halifax.