The product which is funded by SALT is available exclusively through c2-financial and a small select group of other packagers. Although the interest rate is based on the Swiss LIBOR rate, the mortgage is sterling based and therefore the customer has no currency risk to worry about.
The product is currently only available on a five year tracker and carries early repayment charges (ERC’s) during the first five years. After the first three years however, the customer will receive a cashback of two per cent of the mortgage balance, subject to having maintained their mortgage payments in full and on time during the first three years. Interest rates start at 4.79 per cent on prime deals, heavy adverse deals up to 85 per cent are available at just 6.04 per cent and fastrack unlimited deals are available at 6.64 per cent up to 80 per cent laon to value (LTV).
Chairman of the c2 group, David Wylie, said: “SALT are demonstrating real and tangible product innovation by launching such a spectacular new concept. The interest rates are astonishing, and whilst we appreciate that a five year tie-in will not be suitable for everyone, the 2 per cent cashback after three years is a real incentive for customers to pay close attention to maintaining their finances in good order.
“I have instructed our intermediary sales department to include these products within the relevant categories of C75 and C55 and this means, that by accessing the products via c2, customers will benefit from free valuations, low application fees and in the case of C75, a 75 per cent cashback. Brokers will also be safe in the knowledge that they will be receiving market leading proc fees.”
