Remortgage recommends the Nationwide

The Nationwide has recommended that anyone approaching the end of fixed-rate mortgage should remortgage to avoid a large rise in their repayments big increase in payments.

A large number of 2 year fixed-rate mortgages are set to switch back to their standard variable rate in October and November, and if borrowers do not switch, the Nationwide say that people could end up paying an extra £200 a month.

"Those who prefer to avoid the unexpected may be thinking about fixing for a longer period," suggested Matthew Carter, director of mortgages at Nationwide.

"Since the Bank of England base rate has been rising we have seen a great deal of interest in our longer term deals, including our 25-year fixed-rate deal."

Nationwide allows its borrowers to move to another of its mortgages in the final three months of their fixed-rate term without incurring form of penalty.

Last month, Nationwide announced a raft of rate reductions across its range of fixed-rate mortgage offerings.