Santander cuts tracker mortgage rates

From Friday (29 January), two tracker mortgages available from Santander and Alliance & Leicester branches will be reduced.  The new deals are as follows:

2.63% 70% LTV 2-year tracker with a £995 fee (remortgage)
2.89% 75% LTV 2-year tracker with a £995 fee (remortgage and homebuyer)

For existing current account customers, Santander is launching an 85 per cent LTV 4-year fix at 4.99 per cent per cent with a £995 fee for remortgage and purchase.  This extends the range of offers we have for these customers in Santander and Alliance & Leicester branches and on the telephone including a 90 per cent LTV 3-year fix at 5.99 per cent and a 2-year fix at 75 per cent LTV at 3.89 per cent.  This is a part of Santander's strategy to reward existing customers and follows the launch of the Zero Current Account, the announcement that adult bank account customers will now benefit from fee free cash withdrawals from all of Santander's 4,300 ATMs in Spain and the launch of Santander Zero Credit Card offer with a zero per cent balance transfer fee in addition to the existing Zero benefits.

Also launching on Friday, is a new fee-free 3-year tracker at 3.29 per cent up to 75 per cent LTV, available for purchase or remortgage.

These changes come hot-on-the-heels of changes made just last week, where Santander reduced the rate on some of its 2-year fixes by up to 0.4 per cent.  The new rates are:

4.99%, 2 year fix with a £995 fee up to 80% LTV (remortgage)
4.99%, 2-year fix with a £995 up to 80% LTV (purchase)

Phil Cliff, Mortgage Director for Santander, commented: "For the third consecutive week, we have reduced mortgage rates.  We want to offer our customers competitive rates and a good variety of products and the latest changes to our range are no exception."

For more information on mortgages from Santander, visit santander.co.uk.