Coventry launches discounted rate mortgage deal

On Thursday 15 February, an extremely competitive 4.89% discounted rate mortgage will be launched by Coventry Building Society.

The new product will be available for a limited period only.

Colin Franklin, head of sales at the Coventry, comments: “In the current interest rate environment, this new discounted product offers an extremely low rate for borrowers who wish to minimise their monthly repayments. For those who consider interest rates to be close to their peak, not only are we offering good value with a lower pay rate in the shorter term but also a possible rate reduction in the medium term. In addition, it has realistic fees, offering a fair deal for customers, at a time when many of the fixed deals currently available in the market come at a premium rate with higher fees.”

Key features of the new product are:

2.45% discount to 31 03 09 (rate discounted off SVR)
£199 booking fee; £500 arrangement fee
Free valuation & discounted legal fees
Daily interest
No overhanging ERC (ERC - 4% of balance repaid until 31 03 09)
Up to 85% loan to value