On Monday 12 January, the Society launches its first 10-Year Fixed Rate Mortgage, with a fixed rate of 5.99% until 31 March 2005, followed by 6.24% until 31 March 2014. The loan is unique in that it has no redemption tie-in and allows borrowers to make unlimited capital repayments.
Key Features – Flexible 10-Year Fixed Rate Mortgage
- 5.99% fixed until 31 March 2005, then 6.24% fixed until 31 March 2014, then:
- Reverts to Society’s variable rate, with 0.75% discount through Skipton’s concessionary Mortgage Discount Scheme (current pay rate of 4.99%) [see Editor’s Notes]
- Available up to 95% LTV with free MIG up to 90% LTV
- Free legal fees for remortgages (£250 cashback in Scotland) through Skipton Home Conveyancing Service
- Flexible benefits – daily interest, overpayments and payment holidays
- £399 completion fee – can be added to the loan
- Interest payable only to the end of the month of redemption
- Unlimited capital repayments allowed each year, without charge
- Interested borrowers should call 08457 171777 or visit their local branch for further information
Jennifer Holloway, head of media relations, commented, “Longer-term fixed rates have been brought to the public’s attention recently through the Miles Review and the implication is that the UK’s future borrowing habits may lie more in this direction. Skipton’s 10-Year Fixed Rate Mortgage is, therefore, a good mid-term solution for homeowners who like the idea of knowing exactly what their repayments will be for a long period, but are not prepared to gamble on the 25-year market. An initial discount of 0.25% makes this an attractive product and, with no redemption tie-ins and unlimited capital repayments allowed, it offers a unique safeguard for borrowers, should their circumstances change.”
