RBS brings out new mortgage range
Wednesday, 20 Aug 2008 11:49
NatWest and the Royal Bank of Scotland (RBS) have confirmed they are to launch a new range of tracker and fixed-rate mortgages.
The new fixed-rate deals – which will be available exclusively to existing customers – will have a choice of two rates; one designed for those only requiring up to 75 per cent loan to value (LTV) and the other for those needing up to 95 per cent LTV.
The fixed-rate deals can be secured over two, three, five, seven or ten years, while the tracker rates are available for two or three years with a LTV of either 75 per cent or 90 per cent.
"In these uncertain times we are committed to helping our existing customers who are about to come to the end of their current deal," explained Jon Cooper, head of mortgages for existing customers at RBS.
"We have introduced these new competitive rates to support customers who want to keep monthly repayments as affordable as possible."
Under the terms of the new deal, a fixed-rate mortgage for between two and ten years with a 75 per cent LTV will carry an interest rate of 6.19 per cent.
This rises to 6.54 per cent with a 95 per cent LTV. Both come with arrangement fees of £899.
A tracker mortgage valid for up to three years, with an LTV up to 75 per cent, comes with a cost of base rate plus 0.99 per cent, again with a fee of £899.
Rising to 90 per cent LTV increases the cost to base rate plus 1.14 per cent.
With the Bank of England's base rate presently standing at five per cent, the new deals will cost 5.99 and 6.14 per cent respectively.
Chris O'Toole