NatWest and RBS have announced they are cutting rates on a number of their mortgages.
The costs have been cut on RBS and NatWest purchase mortgages and remortgage deals with a loan to value of up to 60 per cent.
A two year fixed rate with a 60 per cent LTV will now cost 2.75 per cent with a fee of £695, or 2.95 per cent with no fee.
The 5 year fixed rate has been reduced to 3.99 per cent with no fee, and two year tracker rates are falling to 1.99 per cent with a £999 fee or 2.29 per cent with no fee.
RBS and NatWest have also launched two new remortgage deals for up to 50 per cent loan to value – a two year fixed rate deal offering £250 cashback, with a rate of 2.75 per cent and no fee, and a five year fixed rate at 3.75 per cent and a fee of £699.
The mortgage providers are trying to encourage borrowers who have been sitting on standard variable rates after their fixed terms come to an end, because they do not believe that there are any cheaper deals currently available.
Commenting on the reduced rates and new deals, which come into affect today, Craig Calder, head of NatWest mortgages, said: "Remortgaging is a confusing subject for many at the moment, with uncertainty over rates and when they may begin to rise.
"Many people remain on their Standard Variable Rate, unaware that some of the best tracker and fixed rates are now lower than their SVR. We are confident that our new range of mortgage rates will offer great customer choice as well as saving customer's money each month."
© Fair Investment Company Ltd
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