The interest rate tracks the Bank of England Rate (currently 0.5%) plus 2.75 per cent for the whole of the mortgage term. The initial payable rate, therefore, is 3.25 per cent.
A minimum payable rate of 2.75 per cent will apply for the whole of the mortgage term and the product is available on home purchases or re-mortgages up to a maximum loan value of £300,000 and 75% of value.
The Mansfield product manager, Peter Doherty, said: “This tracker is ideal for borrowers coming to the end of a fixed or discounted rate product and who want to reduce their monthly payments whilst the bank rate is low.
“The tracker has a relatively low arrangement fee of £250 and an added incentive of the cost of a basic valuation fee being refunded on completion up to a maximum of £400.”
The Mansfield’s new tracker mortgage carries a two per cent early repayment charge if the agreed advance is repaid during the first two years and a maximum capital payment of 10 per cent of the agreed advance during the first two years.
