Mortgage News
Tesco Bank refreshes mortgage range
Tesco Bank has unveiled a new range of mortgage products with several rate cuts in higher LTV bands.
The supermarket giant’s new range will include a two-year fixed rate product at 80% at 2.19% (was 2.29%) with an £1,300 fee or 2.59% (was 2.69%) for the fee-free equivalent.
At 85% LTV the direct-only lender will offer a two-year fix fee-free for 2.99% (was 3.19%) and 2.59% (was 2.79%) with an £1,300 fee.
At the same time the lender has increased rates on some of its products with its three-year fix at 85% LTV rising 10bps to 3.39% and its two-year fix at 70% LTV increasing by the same amount to 1.99%.
David McCreadie, managing director of banking at Tesco Bank, said: “The new products reflect our commitment to offer a range of highly competitive mortgages for Tesco customers.
“At present, customers tend to be looking for great rates at a higher loan-to-value and our new rates respond to this demand, while continuing to offer a range of highly competitive products that reward loyalty.”
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| Fixed rate mortgages | ||||
|---|---|---|---|---|
| Product | Max LTV | £1,300 product fee option | No product fee option | Non-refundable booking fee |
| Two-year fixed | 60% | 1.64% (no change) |
2.39% (was 2.29%) |
|
| 70% | 1.99% (was 1.89%) |
2.39% (was 2.29%) |
||
| 75% | 2.19% (was 1.99%) |
2.59% |
£195 | |
| 80% | 2.19% (was 2.29%) |
2.59% (was 2.69%) |
||
| 85% | 2.59% (was 2.79%) |
2.99% (was 3.19%) |
||
| Three-year fixed | 60% | 2.39% (was 2.19%) |
2.79% (was 2.59%) |
|
| 70% | 2.39% (was 2.29%) |
2.79% (was 2.59%) |
£195 | |
| 75% | 2.39% (was 2.29%) |
2.79% (was 2.59%) |
||
| 80% | 2.65% (was 2.69%) |
3.05% (was 2.99%) |
||
| 85% | 2.99% (no change) |
3.39% (was 3.29%) |
||
| Five-year fixed | 60% | 2.99% (no change) |
3.39% (no change) |
|
| 70% | 2.99% (no change) |
3.39% (no change) |
£195 | |
| 75% | 3.09% (no change) |
3.49% (no change) |
||
| 80% | 3.49% (was 3.69%) |
3.89% (was 4.09%) |
||
| 85% | 3.69% (was 3.79%) |
4.09% (was 4.19%) |
||
| Tracker mortgages | ||||
| Product | Max LTV | £800 product fee option | No product fee option | Non-refundable booking fee |
| Two-year tracker | 60% | BoE +1.25% (no change) |
BoE +1.75% (no change) |
£195 |
| 70% | BoE +1.55% (no change) |
BoE +2.05% (no change) |
£195 | |
| 75% | BoE +1.55% (no change) |
BoE +2.05% (no change) |
£195 | |
| 80% | BoE +1.65% (was +1.95%) |
BoE +2.15% (was +2.45%) |
£195 | |
| 85% | BoE +1.95% (was +2.45%) |
BoE +2.45% (was +2.95%) |
£195 |