Intelligent Finance (IF) is offering homebuyers a new fixed rate offset mortgage, with an interest rate of 4.99 per cent.
Customers will be able to lower their mortgage repayments and avoid tax on interest on their accounts if they offset their individual savings accounts (ISAs) and current account savings against the IF mortgage.
IF spokesman, Nick Robinson, said: "There are no restrictions on the level of offset savings a client wishes to use against their mortgage and they can undertake lump sum overpayments as often as they like during the life of the mortgage."
The maximum amount available to borrow is £500,000, with a loan-to-value of 85 per cent.
The 4.99 per cent interest rate remains fixed until February 1st 2008 and there is an arrangement fee of £499.
The mortgage is available to both purchasers and those looking to re-mortgage their homes.To read more about Mortgage News, click here.
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