HSBC has re-launched five fixed rate mortgages.
The new range offers one, two, three, five or ten year fixes. When the period of the fix expires the mortgage returns to HSBC's home buyer rate, which currently stands at 5.75 per cent and will not rise more than one per cent above Bank of England base rate for the term of the mortgage.
Sian Lehrter, head of mortgages at HSBC, commented: "Many mortgage lenders offer initially attractive fixed and discounted rates to customers in the fairly certain knowledge that those same customers won't move their mortgage at the end of the fix. And with variable rates among eight out of ten of the top ten lenders ranging from 6.75 per cent to an eye-watering 6.84 per cent, customers end up paying over the odds in the long term"
"We don't do that. When our fixed rates end customers will move onto our Home Buyer rate, the cheapest variable rate on the high street (currently 5.75 per cent), a rate that's guaranteed never to exceed the base rate by more than one per cent," she added.
HSBC's new rates are:
5.29 per cent for a one year fixed rate mortgage,
5.49 per cent for a two year fixed rate mortgage,
5.49 per cent for a three year fixed rate mortgage,
5.69 per cent for a five year fixed rate mortgage, and
5.89 per cent for a ten year fixed rate mortgage.
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