Chris Smith, group direct product manager at Yorkshire building society, said: “If the Bank of England base rate remains low, then the borrower can choose to remain on their tracker product, enabling them to take advantage of the low interest rate, or if the Bank of England base rate looks set to increase they can move to a fixed rate product without charge.
“It’s as simple as that. We understand that depending on the borrowers circumstances they may want to opt for the certainty that a fixed rate of interest provides and this product caters for that.
“Not only will they be offered competitive rates, but of additional benefit to our customers, those who opt for the drop lock mortgage will incur no additional fees should they wish to change to a competitive fixed rate product during their term.
“We have also offered two products allowing customers to choose which best suits their needs. They can opt for a 3-year 2.29% tracker with a £995 product fee. Or they can choose a 3-year 2.49% tracker with a £95 product fee which also offers a £500 cash back bonus.”
