Abbey increases rates
23 April 2004
Abbey has announced that it is to increase the rates on a selection of fixed rate mortgages.
The changes, which take effect immediately, target the two, three, and five year plans. Abbey says the alterations reflect the current higher costs of borrowing on the money markets.
The mortgages are part of Abbey's 'Sure' range, and are aimed at those wanting the reassurance of paying the same amount for their mortgage each month, yet who value longer-term security against any future increases in the Bank of England base rate.
As Angus Porter, Abbey's customer director said: "With predictions that there may be another increase in the Bank of England base rate soon, more and more people are drawn towards fixed rate mortgages, knowing their monthly mortgage repayments will remain unchanged, regardless of any move in the base rate."
Abbey's fixed rate mortgages are available to first time buyers, re-mortgage customers, and people moving home.
But Abbey did say that the interest rate on its 15 year fix will remain unchanged at 5.74 per cent.