HSBC lowers interest rates by 0.50% for majority of borrowers

HSBC can confirm that the vast majority of its consumer mortgage and small to medium sized business customers will fully benefit from today's base rate cut of 0.50 per cent by the Monetary Policy Committee.

95 per cent of HSBC mortgage customers will see their mortgage rate fall in line with the MPC's cut, or will be unaffected as they are on a fixed rate

Small to Medium-sized companies with floating-rate borrowing - around 97 per cent of HSBC's SME borrowers - will also fully benefit from the rate cut

HSBC lowest fixed rate mortgage ever at 2.89 per cent for two year is now available to customers

HSBC standard variable rate, currently 3.94 per cent is under review

HSBC has pledged £15bn for mortgage lending in 2009 and is the only lender with fixed interest mortgage below 3 per cent without extended catches. The latest deal is the bank's lowest 2 year fixed rate ever at 2.89 per cent. The new fixed loan is priced to appeal to customers currently paying standard variable rates, and enables them to lock-in to a super low 2.89 per cent rate until the end of March 2011. HSBC's other sub 3 per cent loans are a lifetime tracker at 2.95 per cent and a two year Premier discount at 2.99 per cent.

HSBC launches a new range of lifetime tracker mortgages on the 6th March 2009.

For more information, visit hsbc.co.uk