Metro Bank launches with direct mortgage deals
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Metro Bank opens its doors today, offering a range of direct financial products, including mortgages.
Metro Bank is the first high street bank to launch for over 100 years and will offer mortgages, current accounts, savings accounts, credit cards and loans.
On the mortgage front the bank is offering fixed and variable rate products up to 80% LTV - it has a two-year variable rate mortgage at 3.5%, a two-year fixed product at 4% and a three-year fixed rate at 4.5% up to 60% LTV.
For products above 60% LTV the bank says it will increase rates by 1%, for example its 80% two-year fixed rate product has a rate of 5%.
All mortgages have an arrangement fee of £500.
The bank promises to transform the face of British banking by opening seven days a week and putting customers at the heart of its proposition.
Metro Bank has opened its first branch in Holborn which will be followed later in the year by one in Earls Court.
A further 10 stores are planned in Greater London over the next two years as part of a 200 plus store expansion.
Stuart Bernau, former retail director at Nationwide Building Society and Keith Carby, former chief executive of Openwork, are both non-executive directors at the bank
Craig Donaldson, chief executive officer of Metro Bank, says: “Metro Bank will stand out from other high street banks by providing unparalleled service, convenience, and value for money. We know that banking customers are looking for a new, convenient way of banking with easy to understand products and that’s what we will offer. We will deliver a service that exceeds expectations with customers at the heart of everything we do. “
Readers' comments (10)
Ancient Wisdom...is a mortgage broker in N3. | 29 Jul 2010 8:50 am
Good Luck to Metro Bank - lets hope the other banks now follow suit and open on a Sunday!
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Maurice Edgington | 29 Jul 2010 9:00 am
It is good to see a CEO of a bank offering what all customers want, good service. Let's hope he doen't disappear into the background once Metro has a dozen or more branches but keeps his eye on what is going on. Well done I wish you every success.
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Anonymous | 29 Jul 2010 9:36 am
More competition is welcomed. Interesting to see how we warm to the American Smile, we've seen banks cross the atlantic before and go back. If their service proposition is strong they might just clear up in the mid market. Product wise it is uninspiring at present.
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Anonymous | 29 Jul 2010 10:35 am
Lets hope other banks open on Sunday? I like my Sunday off!!
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Anonymous | 29 Jul 2010 11:08 am
Hmm, sorry to be the sceptic but I wonder if the british public are gullable enough to not worry about getting the best advice and deals that are on offer to them, and will just be blinded by free doggy biscuits and opening on Sundays? Will they have qualified professional mortgage advisors in every branch? I am guessing not. Still at least pooch will be happy.....
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Anonymous | 29 Jul 2010 11:32 am
Is there really a big market for banking in Holborn on Sundays?
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Milo Holmes | 29 Jul 2010 3:37 pm
Wishing Metro Bank sucess in this venture, maybe now more lenders will come forward with more competative products for ALL individuals to allow the housing market to continue moving forward
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More money then sense? | 30 Jul 2010 11:59 am
C'mon everyone, wake-up! The guy opening thia 'bank' is a self-indulgent Billionaire who likes dogs...mmmmm.
Stuart Bernau, former retail director at Nationwide Building Society is a non-executive directors at the bank...I might suggest that his close namesake Richie Benaud would be a wiser chouce?
Obviously, I hope not but,unless our Billionaire dog lover is prepared to throw a 10s of £millions at this, it should be closed within 18 months.
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Sid Siddiqui. | 30 Jul 2010 9:56 pm
Congratulation to Metro Bank, what a fantastic news, I think it’s a life line for mortgage brokers, well done and all the very best.
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Anonymous | 2 Aug 2010 10:44 am
Am I missing something here? How can it be a lifeline for Mortgage Brokers when they only offer Direct only mortgages?
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