Woolwich cuts rates by up to 0.21%

Woolwich has cut rates on its 80% LTV mortgages by up to 0.21% and introduced a drop lock facility.

Reductions include a cut of 0.21% on the two-year fixed deal from 4.59% to 4.38% and a 0.1% reduction on three and five-year fixed rates to 4.79% and 5.39% respectively.

Woolwich has also launched an 80% LTV lifetime tracker at Bank of England base rate plus 3.38% with a £999 application fee.

The drop lock facility will be available to new tracker and offset borrowers. It will allow customers who opt for a tracker or offset deal to switch to a fixed rate in future without incurring an early repayment charge.

Andy Gray, head of mortgages at Barclays, says: “This facility means customers can get a low tracker rate now and then switch when they need greater security.”