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Mortgages

Yorkshire cuts fixed rate mortgage costs

Wednesday, 20 Aug 2008 11:51
Yorkshire Building Society (YBS) has joined in with today's rate cutting bonanza, announcing the cost of fixed-rate borrowing will fall.

The society has launched a new two-year fixed-rate mortgage, with an interest rate of 5.54 per cent.

The new product also features a reduced application fee of £895 compared to the Society's normal fee of £995.

YBS's decision follows announcements earlier from Royal Bank of Scotland and Abbey, also revealing a drop in the cost of fixed-rate borrowing.

In addition, the cost of YBS's current 4.99 per cent two-year fixed-rate product with a three per cent fee is being reduced to 4.89 per cent, with the fee reducing to 2.5 per cent at the same time.

"There are signs of increasing activity in the mortgage market which can only be helped by falling rates," explained YBS mortgage product manager, Tom Girling.

"We are keen to pass on money market rate reductions to borrowers who are finding life tough at the moment with all of the other cost of living increases in fuel and food items."

Chris O'Toole

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