Abbey has made changes to the rates on its existing fixed rate mortgages, as well as launching two new deals.
The first is a five-year fixed rate stepped product with a rate of 3.99% that increases in the second and third years to 5.79% and 5.99% in years four and five respectively. The five-year product has an application fee of 799.
The second mortgage introduced this week is a 15-year fixed rate mortgage with a rate of 5.39%. The 15-year fixed-rate mortgage has an application fee of 599.
Changes have been made to its existing two-year fixed rate products through brokers, its core, homebuyer and Remortgage products have gone up to 5.19%, 5.39% and 5.24% respectively.
Abbey has also revised its two-year fixed rate products that go directly to the client. Its core, homebuyer and remortgage products in this range have gone up to 5.24%, 5.44% and 5.29% respectively.
All other fixed rate products have seen an increase of 0.20%.
Nici Audhlam-Gardiner, head of mortgages at Abbey, says: Both new products offer something different to customers.
“The stepped mortgage gives people the chance to benefit from lower upfront costs, which can help support buyers trying to get on the property ladder.
“The 15-year fixed rate allows people to enjoy the certainty that repayments are fixed for the duration. We know this is particularly important to our customers in the current rising interest rate environment.
Following the rise in SWAP rates in December and early January, we have found it necessary to make these changes to our fixed-rate products.