Newcastle launches two new mortgages

The first deal from Newcastle offers a 2-year fixed rate of 4.44% until 31 May 2006, ideal for borrowers who are looking to keep payments lower in the early years by fixing their mortgage below the current standard variable rate (currently 6.04%)

Key features of Newcastle's 2 Year Fixed rate mortgage

* Maximum LTV 90%

* Interest is calculated daily

* Minimum loan £15,000 (£60,000 in Northern Ireland) Maximum loan £250,000 - although larger amounts will be considered on an individual basis

Robert Hollinshead, Newcastle Building Society Chief Executive, said: "After the recent interest rate increases by the Bank of England we understand that many borrowers are looking for the security of a fixed rate deal, particularly in the first few years of the mortgage when they may want to benefit from reduced repayments, and be able to budget with certainty. This 2-year fixed product is one of the most competitive on the market today and is a further demonstration of our commitment at Newcastle to offer excellent products to our customers."

The 2-year fixed mortgage is available from the Society's 50 UK branches or by calling Newcastle Direct on 0845 6064488 or online at www.newcastle.co.uk It is also available exclusively through mortgage broker London & Country.

The second deal is a 2-year discount product, following closely behind the launch of a new variable offset mortgage designed to help struggling first time buyers.

It offers a 2-year discount rate 2.24% below its SVR until 31 May 2006. Offering a current rate of 3.80% this is ideal for borrowers who are looking to reduce payments in the early years.

Key features of Newcastle's 2 Year discount mortgage

* 2.24% discount on Newcastle's Standard Variable Rate until 31 May 2006, giving a current rate of just 3.80% (5.70% APR)

* Maximum LTV 90%

* Interest is calculated daily.

* Minimum loan £15,000 (£60,000 in Northern Ireland) Maximum loan £250,000 - although larger amounts will be considered on an individual basis.

* No early repayment charges after discount period

Robert Hollinshead, Newcastle Building Society Chief Executive, said: "This 2-year discount product is one of the most competitive on the market today. Newcastle Building Society continually strives to offer the best deals to customers, along with flexible, innovative products and the highest level of service that our customers have come to expect from us."

The 2-year discount variable mortgage is available from the Society's 50 UK branches or by calling Newcastle Direct on 0845 6064488 or on-line at www.newcastle.co.uk