HSBC offers ten-year plan
29 April 2004
Following the publication of the Miles report, which advised that mortgage lenders should make more long-term plans available to all, HSBC has introduced a ten-year mortgage plan.
The mortgage is open to both existing and new customers at a rate of 5.69 per cent - lower than the standard variable rates of six per cent charged by the majority of lenders.
"We always aim to be one step ahead of the marketplace when it comes to fairness and long-term value," says Clive Wood, head of banking and mortgages.
"With variable rate mortgages expected to become more expensive with increases in the base rate over the coming months, our 10 year deal will help borrowers to opt for certainty without having to pay the earth."
Money experts widely predict that interest rates will rise form four per cent to as high a 5.25 per cent over the coming months - a long term fixed rate mortgage offers protection against this.