GMAC-RFC launches new BBR tracker rates

Following on from yesterday’s base rate decision to hold rates at 5.75%, GMAC-RFC, the UK’s 10th largest lender, has reviewed its Partners product range and is replacing current Mainstream and Self-Cert discount rates with new BBR Trackers, in a bid to offer more competitive rates.

In the current market environment, borrowers should consider alternatives to fixed rate products and the benefits of variable rate products.

Replacing Mainstream discount rates, the new BBR Tracker rates are as follows:

Up to 75% LTV BBR + 0.50%
Up to 85% LTV BBR + 0.80%

Replacing Self-Certification discount rate, the new BBR Tracker rate is as follows:

Up to 75% LTV BBR + 0.80%

Julie Gaskin Corporate Relations Manager of GMAC-RFC comments: “Yesterday’s hold on the Bank of England base rate was as expected, suggesting that we are likely to have reached the peak of the current interest cycle, with most experts predicting that it will either stabilise or reduce in the coming months. As such, switching to a variable product could prove a shrewd financial move for borrowers as lenders can price more competitively.”

In the current climate borrowers who have previously opted for a fixed rate product should look to a tracker mortgages as an attractive alternative. If predictions ring true and the base rate does indeed fall to around the 5% mark, customers on variable rate products could see monthly repayments drop by almost £150, resulting in considerable savings over the mortgage term.”