This gives a current rate of 4.70% (6.4% APR), with the added bonus that this product is free of early repayment charges.
- 2.10% discount to 31/10/07, current rate 4.70% (6.4% APR)
- Refunded valuation fee and free legals
- No early repayment charge
- Minimum loan £150,000
- Maximum LTV: 85%
Ray Boulger of Charcol comments, “The rate alone on this three year discount puts other 3 year discounts and trackers in the shade, but in addition this remortgage only product has low set up costs as there are free legals and the valuation fee is refunded on completion. Furthermore there are no early repayment charges, even within the 3 year discount period.
“Borrowers coming to the end of a fixed rate may be reluctant to lock into a new fix now as we appear to be at or near the top of the interest rate cycle, which is why the cost of fixed rate mortgages has already started falling. Because it has no early repayment charges this exceptional deal gives borrowers the opportunity of switching into a low discount rate now, whilst retaining the option to move to a fixed rate if and when they decide fixed rates offer better value.”
Most remortgagors will not need to borrow more than the 85% loan to value maximum available on this deal but it will not be suitable for everyone as the minimum loan size is £150,000.”
