Atom Bank will reduce its 5-year fixed rate mortgages so they match its 2-year products from tomorrow for a limited time.
With a £900 fee its 60% loan-to-value product stands at 1.29% (-0.60%), 75% LTV at 1.34% (-0.65%), 80% LTV at 1.49% (-0.60%), 85% LTV at 1.59% (-0.65%) and 90% LTV at 1.99% (0.80%).
With no fee 5-year fixes will cost 1.64% (-0.35%) to 60% LTV, 1.74% (-0.45%) to 75% LTV, 1.89% (-0.40%) to 80% LTV, 1.99% (-0.45%) to 85% LTV and 2.44% (-0.55%) to 90% LTV.
Maria Harris, director of retail mortgages at Atom Bank, said: “This move is entirely unprecedented, but we know consumers have an appetite for it.
“The recent success of our disruptive savings pricing has taught us that. We are in a position where we can help people improve their financial situation for the long-term by reducing the amount they have to pay on their mortgage.”
Harris added: “We remain fully committed to only providing mortgage products through intermediaries.
“It’s important to us that a customer has received proper independent financial advice, ensuring they get the right mortgage – and that is not always just about the rate.
“Our ultimate aim is to help people get what’s right for them, while having the best experience along the way, and our intermediary partners are crucial to helping us deliver this.”