Nationwide unveils mortgage range

Amanda Jarvis

March 3, 2006

The new rates have been reduced by up to 0.15 per cent and will be available immediately.
The new rates cover three, five and 10-year fixed rate and three-year and lifetime tracker deals.

Five year fixed rate:
Nationwide: from 4.69 per cent
Abbey: from 4.84 per cent
Halifax: from 4.89 per cent
Northern Rock: from 4.95 per cent

Three year tracker:
Nationwide: from 4.69 per cent
Northern Rock: from 4.89 per cent
Halifax: from 5.09 per cent (first time buyers only)
Abbey: No product

Nationwide says it is offering excellent overall value with generally lower fees and charges than its main high street competitors. It gives the following of an example: for a five-year fixed rate mortgage at Northern Rock, not only is the rate more than a quarter per cent higher than Nationwide's, its reservation fee is also almost £300 higher. Over five years a typical customer could save over £2,000 when compared with Northern Rock. Also, unlike many other lenders, Nationwide does not impose a higher lending charge on borrowers who wish to borrow more than 75 per cent loan to value.

Tim Hughes, head of intermediary markets, said: “Intermediaries’ clients want great low rates and affordable fees. That’s what Nationwide is providing. Added to our policy of charging daily interest, with no higher lending charge, Nationwide should now be the first port of call for any intermediary looking to find a great long-term deal for their customers.”

Nationwide is a mutual building society, which is owned by its members. As such, it aims to be different from the banks. Members are actively encouraged to play a strong role in their Society by voting at the AGM in person or by post each year.

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