Barclays cuts lending rates and launches zero fee mortgage

 

Barclays has today cut the interest rates on a selection of fixed rate mortgages and introduced a new home loan deal with no application fee.

The lender has reduced its five year fixed rate mortgage by 0.3 per cent to 3.99 per cent, available at 70 per cent loan to value (LTV).

A two year fixed package at 60 per cent LTV has dropped from 3.29 per cent to 3.09 per cent, while another five year deal, at 80 per cent LTV, has been cut by 0.2 per cent to 4.29 per cent.

Each mortgage has a £999 application fee which drops to £499 for customers who qualify for a Barclays loyalty mortgage.

Meanwhile, the bank has unveiled a new, two year fixed rate mortgage at 3.29 per cent with no application fee, available at 70 per cent LTV.

Andy Gray, head of mortgages at Barclays, said: “We have decided to introduce a market leading package for customers purchasing a house to help lower the upfront costs and get a really competitive rate.”

The lender has also reduced its NewBuy deal for first time buyers from 5.89 per cent to 5.69 per cent, while cutting its Future Fix package – a tracker followed by a fixed rate – by 0.3 per cent to 3.99 per cent at 70 per cent LTV and 4.29 per cent for an 80 per cent LTV mortgage.