Three-year stepped discount from Earl Shilton Building Society

Earl Shilton Building Society will launch a new three-year stepped discount with no extended tie-in on February 1.

The product has a 1.95% discount for the first two years, giving a pay rate of 3.65%, followed by 0.95% discount for the following year, a pay rate of 4.65%.

There is an arrangement fee of £295 and a valuation fee would be payable. Existing mortgage customers moving house and investors of two years standing or more would receive £100 of valuation fee refunded on completion.

There is a maximum LTV of 85% for existing mortgage customers and 80% LTV for new business. There is no compulsory buildings and contents insurance, and capital repayments of up to 10% of the original loan can be repaid each year without penalty. There is a redemption charge of 3% of the loan advance. The loan is fully portable and is available for purchase or remortgage.