Skipton launches Options mortgage range
With Bank Base Rate widely expected to begin rising before the end of 2011, Skipton Building Society is offering borrowers added peace of mind with its Options mortgage range, an innovative new set of Base Rate Tracker products offering a ‘Switch and Fix' facility.
The Society's new Options tracker mortgages offer borrowers the best of both worlds - the ability to reap the benefits of a low Bank Base Rate while it lasts, and then switch to the shelter of a Skipton fixed rate deal during the product term if they wish with no Early Repayment charges (ERCs).
The new products are available via the Society's branches, direct customer service centre and intermediaries.
Product Highlights
5 Year Base Rate Tracker - with fee
BBR +2.99%, currently 3.49%
Option to switch to fixed rate product from Skipton's available range during product term with no ERCs (if a completion fee applies to the fixed rate product chosen, this will be payable);
Maximum LTV 80%
Completion fee £995
Available for purchases and remortgages
Free standard legal and valuation fees for remortgages
Early Repayment Charge: 5/4/3/2/1% over five year product term
Overpayments of up to 10% per annum allowed
Reverting to BBR +4.45% (currently 4.95%) at the end of the product term
5 Year Base Rate Tracker - no fee
BBR + 3.19%, currently 3.69%
Option to switch to fixed rate product from Skipton's available range during product term with no ERCs (if a completion fee applies to the fixed rate product chosen, this will be payable);
Maximum LTV 80%
Completion fee £0
Available for purchases and remortgages
Free standard legal and valuation fees for remortgages
Early Repayment Charge: 5/4/3/2/1% over five year product term
Overpayments of up to 10% per annum allowed
Reverting to BBR +4.45% (currently 4.95%) at the end of the product term.
As a mutual, Skipton is committed to offering its customers good value. Today's launch builds on the popularity of the attractive and creative solutions we have provided over the past year, ranging from competitive fixed and tracker rates to one of the only 95% LTV products for first time buyers. The Society's track record for mortgage and savings value was recognised with 471 independent Best Buy table endorsements in national media during 2010.
Senior Product Manager William Gill said: "We recognise the anxiety many borrowers feel amid continued market uncertainty and with the prospect that interest rates may start to rise from their current, historic lows before the end of the year.
"That's why we've come up with this new solution to help cushion them against potentially increasing rates, while enabling them to benefit from the current, exceptionally low Bank Base Rate for as long as possible."