first direct launches market leading offset tracker mortgage

first direct has launched a market leading offset tracker mortgage which tracks the bank of England base rate plus 2.48% for the life of the loan.

The mortgage is currently priced at 2.98% (3.2%APR) and, unlike any other tracker currently available, the mortgage rate offers customers the security of being capped at 4.99% until 2012.

The new mortgage has a maximum loan to value of 75% and an arrangement fee of £1,499.

Jimmy Kelly, Mortgage Manager for first direct commented: "We wanted customers to be able to take advantage of the current low base rate and offer the security of knowing that their mortgage rate won't go above 4.99% for the next three years.

"It's great to be able to offer this unique mortgage at the moment with the added benefits of being able to offset."

The new mortgage is part of the first direct Summer Sale which starts today and has some great offers for the month of July only.

The offset Capped Tracker rate mortgage is only available to new customers.