From Thursday the bank will be removing the £999 fee whilst maintaining its 2.79% rate.
James Hillon, head of mortgages for the Co-operative Bank said: “It’s a great time for homeowners to review their finances and one of the best ways to cut back on your monthly outgoings is by finding a cheaper mortgage deal.
“We hope this will make it even easier for new and existing homeowners who are shopping around for a competitive mortgage deal.”
The latest Which? Quarterly Consumer Report found that the average arrangement fee is now over £1400.
