Woolwich Mortgage Rates Cut By Up To 0 70 Percent

Written by Editorial Team
05 May 2009 / by Rachael Stiles

Woolwich, the mortgage arm of Barclays, has cut the cost of borrowing for its fixed rate and tracker mortgage range.

For mortgage borrowers with a 30 per cent deposit, Woolwich are offering a two year fixed rate mortgage at 3.69 per cent – a 0.70 per cent reduction in the cost.

Borrowers looking for a mortgage for 80 per cent LTV can apply for a Woolwich mortgage fixed at 4.99 per cent for two years, a reduction of 0.40 per cent.

Alternatively, a three year fixed rate Woolwich mortgage is 0.50 per cent cheaper, now 3.99 per cent, for up to 70 per cent LTV.

The cost of Woolwich’s market-leading offset tracker mortgage – which represents the Bank of England base rate plus 1.99 per cent – has also been cut, by 0.50 percentage points, to 2.49 per cent for loans above £200,000 for up to 60 per cent LTV.

Commenting on the cheaper mortgage deals, Andy Gray, head of Barclays mortgages, said: “Last month we pledged to increase lending to homeowners by £5.5bn and now we are launching even better mortgage rates to our customers.

“Our attractive pricing addresses all customers’ requirements: those who want the certainty of a fixed rate or others who are thinking holistically about their financial situation by looking for offset options. Our latest offset deal is not only the lowest offset rate on the market, it’s also lower than most lifetime trackers which is a win/win solution for borrowers.

“The trend for offsetting is increasing as we are seeing homeowners cut back on their spending and focus more on saving,” he added, and “with interest rates at a historical low, there is also the opportunity to make big savings on mortgage repayments.”

Fair Investment Company Ltd