Abbey cuts 3-year mortgages by 0.5%
Thursday, 20 Nov 2008 11:26
Abbey is slashing rates on its three-year fixed-rate mortgages by up to 0.5 per cent, the bank revealed today.
Mortgages with loan-to-value (LTV) ratios of between 60 per cent and 75 per cent which are on fixed rates and run for three years will be affected by the cuts.
The move comes a week after Abbey reduced the interest rate on its two-year fixed-rate mortgages.
The latest cuts, which will come into effect tomorrow, will see the bank's three-year 60 per cent LTV three-year fixed-rate mortgage become available with a 4.99 per cent rate.
Borrowers requiring a 70 per cent LTV will be offered a rate of 5.04 per cent with a £1,499 fee.
There are also two 75 per cent LTV products available. The first has a 5.24 per cent rate with a £999 fee and the second a 5.39 per cent rate with a £549 per cent fee but is only available for loans of up to £150,000.
Nici Audlham-Gardiner, Abbey's mortgage director, said: "We know from our customers that competitive rates and gaining longer-term certainty of their monthly payment is most important.
"We have been able to respond by offering borrowers very competitive rates starting from 4.99 per cent."