Woolwich cuts rates and introduces drop lock facility
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Barclays is reducing rates on its 80% LTV Woolwich mortgages by up to 0.21% from tomorrow and at the same time introducing a drop lock facility for all new mortgage customers.
The key reductions across the 80% LTV range include a cut of 0.21% on a two-year fixed from 4.59% to 4.38%, and a 0.10% reduction on its three and five-year fixed rates to 4.79% and 5.39%.
At the same time a lifetime tracker at 80% LTV is being introduced at base plus 3.38% with a £999 application fee.
The drop lock facility will be available to all new tracker and offset borrowers with Barclays.
It will allow people who opt for a tracker or offset mortgages to switch to a fixed rate in the future without incurring an early repayment charge.
Andy Gray, head of mortgages for Barclays, says: “With speculation this week that UK interest rates are set to stay at record lows until 2014, the drop lock facility provides customers with peace of mind that they can go into a low tracker rate now and switch at a point in the future when they need greater security.”
All fixed rate mortgages revert to a lifetime tracker rate at base plus 2.49% after the fixed rate period.
Readers' comments (2)
Ancient Wisdom...is a mortgage broker in N3. | 28 Jul 2010 12:19 pm
Wowolich are very clevber, not only do their products tie in the customer on savings, current accounts etc via the MAX system, but this drop lock facility is designed to minimise the need to remortgage elsewhere if rates increase.
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Anonymous | 28 Jul 2010 2:07 pm
......So "Ancient Wisdom" what is wrong with that as long as its good for the customer?
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