The product is funded by the Woolwich. It has an initial rate of 5.19%, Bank of England Base Rate +0.44% for the first year, BBR+0.54% for year two, and BBR+0.64% in year three (APR 6.2%).
Key features of the product include:
- Bank Base Rate +0.44% for year one, +0.54% for year two, +0.64% for year three. Reverting to Bank Base Rate +1.50% for remaining term (6.2%APR)
- £500 cashback payable on completion
- £100 arrangement fee
- £49 booking fee
- £199 broker fee (no fee payable online)
- Max LTV 95%
- No Higher Lending Charge payable
- Early Repayment Penalties only apply in first 3 years
- Can repay up to 10% p.a. penalty free
- First Time Buyers Only
Duncan Pownall, mortgage development manager for Bradford & Bingley, comments: “As it is widely believed that base rate has now reached its peak in this current cycle, buyers who are happy to take a tracker product could soon see the advantages that it has to offer.
“The product’s low arrangement fee bucks current trend for lenders charging higher application fees and as the higher lending charge is paid by the provider on loans up to 95% LTV, this product competes with the very best three-year tracker deals available. The £500 cashback is a helpful ‘moving-in present’ for first time buyers who will benefit from a financial boost when they need most.”
