The rate drops to 5.89 per cent, thirty basis points below its previous offer. This comes with free valuation and legal fees and is also available for purchases and is fixed until September 30, 2009, reverting to a lifetime tracker at 0.95 per cent above base rate safeguarding consumers against further interest rate rises. It is available up to 80 per cent of the property valuation with an application fee of £995 and early repayment charge of 3 per cent.
Andy Gray, head of mortgages for Woolwich said: “Economists still expect rates to increase this year and with two increases already this summer, consumers who need to budget their monthly outgoings are getting squeezed. This new product allows borrowers to fix now to cover any hikes over the next couple of years. For those who only need short term security and want to see what rates do, the 1 year Fix and Track (5.39 per cent) gives a really good solution. The Fix and Track deal has the advantage of tracking rates down after one year if the interest rate situation takes a turn for the better.”
For consumers who are not concerned about fixing, the lifetime tracker at base +0.17 per cent is still available.
