Lenders Promise to Pass on Cut to Home Loan Rates

Mon, 09 Mar 2009

A number of lenders have promised to pass on the full base rate cut on their home loan products from the start of next month. Halifax, Lloyds TSB and Nationwide have all promised to be true to the Bank of England’s 0.5 per cent interest rate cut. Nationwide revealed it would cut its base mortgage rate by the full 0.5 per cent to 2.5 per cent, and even apply the cut to interest rates on tracker mortgages taken out by borrowers from the start of this month.

Halifax and Lloyds TSB, meanwhile, said they would cut their standard variable rate by 0.5 per cent to 3.5 per cent and 2.5 per cent respectively, whilst cutting existing tracker mortgages by the full 0.5 per cent.

Elsewhere, HSBC said they would pass on the full base rate cut to 95 per cent of its mortgage and business borrowers on tracker deals . HSBC’s announcement follows the introduction of their lowest ever fixed-rate mortgage – with an interest rate of just 2.89 per cent, although it does require a 40 per cent deposit and £1,499 fee. Abbey have also launched a sub-3 per cent two year fixed mortgage at 2.99 per cent, though loans only extend to 60 per cent LTV or £200,000.
add to favouritesnewsletterlink to this pagesend to friendpost comments

Link to this page

Copy and Paste the following HTML into your page.