The move will see 7,800 mortgage customers move from Dunfermline’s SVR of 5.19% to Nationwide’s standard mortgage rate of 3.99%.
Nationwide took control of the then struggling Dunfermline Building Society in 2009, a year after taking over the Cheshire and Derbyshire societies in similar circumstances.
Mortgage Solutions reported earlier this year that Nationwide was planning to phase out the Cheshire, Derbyshire and Dunfermline brands by 2015.
This move will affect customers in England, Scotland and Northern Ireland and borrowers will be contacted by the lender this month with a full breakdown of the changes.
Nationwide said a typical customer on the current Dunfermline SVR of 5.19% with a £100,000 loan outstanding would see monthly payments fall from £595.71 to £527.28.
Tracie Pearce, head of mortgages at Nationwide, said: “Dunfermline’s customers will benefit from a lower mortgage rate. This will make a big difference to customers who will see a significant drop in their monthly mortgage payment.
“As we move towards bringing all Dunfermline, Cheshire and Derbyshire Building Society customers together within the Nationwide Building Society, we are in a position to pass on the benefit of a lower SVR to Dunfermline’s borrowers.”
