Alliance & Leicester cuts fixed mortgage rates

Thursday, 06 November 2008 12:01

Alliance & Leicester has slashed prices on its fixed-rate mortgage deals for customers looking for loans of up to 75 per cent on their home.

Two and five-year fixed-rate mortgages will today see their rates cut by 0.20 per cent and three-year deals have been lowered by 0.15 per cent.

Among the mortgages which have been affected by the changes is Alliance & Leicester's Two-Year Fixed-Rate 5.79 per cent deal which now offers a rate of 5.59 per cent.

This is fixed until December 31st, 2010 and comes with a product arrangement fee of one per cent. There is a ten per cent overpayment facility.

Meanwhile the Five-Year FeeSaver, which previously had a fixed rate of 6.59 per cent, is now on the market with a rate of 6.39 per cent.

There is no product fee, it comes with a free valuation and the rate is fixed until December 31st, 2013.

The Three-Year Fixed-Rate mortgage has also been slashed from 5.94 per cent to 5.79 per cent. It has a £599 product arrangement fee.

Richard Taylor, head of mortgage products at Alliance & Leicester, said: "Lower swap rates mean we have been able to cut our fixed-rate mortgage products, which is great news for those looking for a new deal of up to 75 per cent of the value of their home.

"Our fixed-rate mortgages offer competitive rates for those who seek budgetary certainty by fixing their monthly payments."

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