Nationwide Building Society is launching a new payment option on reservation fees for its fixed and tracker mortgages.
From May 10th 2005, the new option will offer borrowers the choice of paying the reservation fee upfront, or paying no reservation fee at all in exchange for a slightly higher rate over the period of the deal.
The new rates for this 'no reservation fee' option will start at just 20 points higher than Nationwide's existing mortgage prices, starting at 5.35 per cent for the two-year fixed deal at 90 per cent loan to value (LTV), and 5.85 per cent at 90 to 95 per cent LTV.
Both fixed and tracker rate mortgages are covered under the new deal, which also sees the current range remain competitive in terms of rates and fees.
"At Nationwide, we listen to our Members and understand that while they like our low rates, sometimes they cannot or do not want to pay an upfront fee," said Stuart Bernau, executive director of Nationwide.
"That is why we're introducing the new 'no reservation fee' option. This complements our existing mortgage rates and offers customers even more choice."
The new reservation fee payment system is available to both new and existing customers.Click here to find out more about fixed rate mortgage deals.
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