This might not seem like a huge amount, but on a £150,000 loan that could mean a difference of up to £2,550 a year.
SVRs currently average 7.51 per cent with 7.74 per cent being the most commonly charged rate among the 62 lenders marketing SVR products direct to consumers and the highest nudging nearly eight per cent.
Despite this, two out of five borrowers have never moved lenders suggesting that many people still revert to the standard rate following the end of a discounted initial period..
mform.co.uk currently estimates that between 40,000 and 60,000 homeowners are coming off fixed rate deals every month.
Francis Ghiloni, mform.co.uk marketing and business development director, said: “The range of rates charged for SVRs is startling and will be a major shock for borrowers coming to the end of existing fixed deals.
“Generally the advice remains the same that borrowers ought to be wary of SVRs. However in some cases the flexibility offered can be attractive, particularly where the rate is competitive.
“And those deals around 6.24 per cent can stand comparison on a true cost basis with fixed rate and discounted deals when all the fees and charges are taken into consideration."
Lowest
The lowest SVR currently offered direct to the public is from ING Direct at 6.24 per cent while others such as Stafford Railway Building Society charge 6.59 per cent and Harpenden Building Society charges 6.69 per cent.
First Direct, the One Account, Newbury Building Society, Holmesdale Building Society and Cambridge Building Society are amongst others charging 6.99 per cent or less.
Highest
The highest rates offered direct to the public come from Royal Bank of Scotland and NatWest on 7.94 per cent with Woolwich and Alliance & Leicester both on 7.89 per cent.
Others above 7.8 per cent include Newcastle BS, Kent Reliance BS, Abbey, Bristol & West and Bank of Ireland.
Nationwide charges 7.24 per cent while Halifax and Cheltenham & Gloucester are on 7.75 per cent.
