Key features of the product are:
- 5.89% Fixed to 31 December 2008 followed by +0.49% Base Rate tracker for term
- Free valuation
- Free legal fees for remortgagors
- Loan-to-value – up to 95%
- ERC – 4% of balance repaid to 31 December 2008 (no overhanging ERC)
- £199 booking fee; £800 arrangement fee
Colin Franklin, head of sales at the Coventry, said: “The new fix and track product is a compelling combination – it’s ideal for borrowers who want the benefit of securing their rate against short term interest rate increases, but with the long term benefit of a tracker rate for the rest of their mortgage term. Unlike other fixed rates with trackers currently on offer, our product has no overhanging ERCs after the initial fixed period.”
