Furthermore, the product allows 10% capital repayments each year, without penalty, and there is no higher lending charge. The fee is only £499 in total and there is no requirement for customers to have any other products with the Society.
Kim Rebecchi, Director of Sales & Marketing said, "This product delivers an excellent combination of fixed and tracker rate features. Customers can lock in at only 3.79% for the first year and benefit from a Base Rate tracker for the remaining 2 years, which would reduce to only 3.50% based on today's rate.
"We expect this product to be extremely popular, particularly with a fee of only £499, no requirement to take up any other products with the Society and the additional flexibility of 10% capital repayments allowed each year, without penalty. I would urge customers to act quickly to avoid disappointment."
Leeds Building Society has also launched a version of this highly competitive product that is available up to 75% loan to value. The rate is 4.29% reverting to Bank Base Rate plus 3.00%, currently 4.00%, for a further two years. This version also allows 10% capital repayments each year, without penalty, and there is no higher lending charge. The booking and completion fee are £999 in total and there is no requirement for customers to have any other products with the Society.
