The bank has announced it is reducing its SVR from 5.95% to 5.7%.
MD, Nick Robinson, said: "Whilst it's terrific to see our SVR singled out by Moneyfacts in it's own right, what it missed from this illustration is the true power of an offset mortgage. Add into the mix of the SVR your current, savings and/or ISA accounts and customers could potentially save thousands of pounds over the lifetime of their mortgages. In my view, offsetting offers one of the very best deals around."
Variable rate
The bank’s standard variable rate for its offset and standalone mortgage products will reduce from 5.95% to 5.7%.
Tracker offset mortgages
Intelligent Finance’s tracker offset mortgages will start with rates from as low as 4.94% (previously 5.19%).
Tracker rates
The bank’s non-offset tracker mortgages will start with rates as low as 4.74%, previously 4.99%.
Nick Robinson, concluded: “The MPC’s decision provides a timely boost for variable rate mortgage borrowers. With more rate reductions likely in the months ahead, we expect to see an upsurge in interest from borrowers in tracker and offset mortgage products which will allow them to benefit from further falls in borrowing rates.”
All new rates are effective from 5 September 2005. The bank will also be reviewing its savings rates in the light of the MPC’s decision.
