Furthermore, borrowers benefit from a free valuation and free in-house legal services for remortgages, there is no higher lending charge and 10% capital repayments are allowed each year.
Phil Coombes, Head of Intermediary Sales said:
“We regularly review the market and the feedback we received was that there was a gap for this type of highly competitive and unique product. Clients benefit from the certainty of payments in the first year, enabling them to budget effectively, followed by two further years tracking Bank Base Rate.
“We believe that this unique combination will be popular with those clients who require the extra comfort of an initial fixed rate period and reduced upfront costs. They can then benefit from a Base Rate Tracker which, with the possibility of a sustained period of low interest rates, will be attractive over the remainder of the product term.”
