Abbey’s entire range of three-year fixed rate mortgages will have rates cut by 0.1%. Rates start from 5.62% with GBP999 fee. 10 and 15-year fixed rate deals are also improving – some by 0.25% and the rates start from 5.59% with GBP999 fee. Abbey has also axed rates of some of its popular two-year fixed rate products. The lowest two-year fix in the range is now 5.67% with GBP999 fee.
Abbey is introducing a three-year fixed rate stepped product starting at 4.99% in the first year, 5.69% in the second, and 6.39% in year third year, with GBP499 fee. Abbey is also launching a three-year tracker stepped product at 0.51% below Bank of England base rate in year one, 0.29% above base rate in year two, and 0.99 above base rate in year three.
A new two-year fixed rate range for 75% loan-to-value or below is being introduced, starting at 5.62% with GBP999 and a new five-year fixed rate range for 75% loan-to-value or below is also being launched, offering 5.63% with GBP499 fee and including additional benefits such as our remortgage solution.
Nici Audhlam-Gardiner, head of mortgages unit at Abbey, said: We’re really pleased to be in a position where we can cut rates on our three-year and longer-term fixes. Our three3-year range is looking extremely competitive at the moment, and someone moving from a competitors’ SVR to that deal could be looking at a saving of GBP140 a month on their mortgage payments.
