Abbey cuts rates on fixed mortgages

Friday, 11 December 2009 12:00

Abbey has today cut rates on a range of its fixed-rate mortgages aimed at customers with lower deposits.

It has slashed 0.10 per cent off its standard three-year fixed-rate 75 per cent loan-to-value (LTV) mortgages to create a new product with a 4.29 per cent rate.

The mortgage, which comes with a £995 booking fee, is available to remortgage customers before February 26th, 2010.

It has also launched a new five-year fixed-rate mortgage for 70 per cent LTVs which has a rate of 4.95 per cent, a booking fee of £995 and is available to both homebuyers and remortgage customers.

And it has cut 0.10 per cent off its four-year fixed-rate deal for 75 per cent LTVs. This mortgage, available to existing customers with an Abbey or Alliance & Leicester bank account, now has a 4.89 per cent rate and no booking fee.

Nici Audhlam-Gardiner, director of mortgages at Abbey, said it had seen an increasing demand for medium-term fixed-rate mortgages as homeowners anticipated the possibility of a base rate rise in the future.

She added: "We have been cutting rates across our whole range over the past month, making mortgages even more affordable for those looking to get onto the property ladder or who are ready to remortgage onto a new more competitive deal."

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