Scotland Building Society has launched a 5-year year fixed rate Retirement Interest-Only (RIO) mortgage.
Priced at 3.49%, the mortgage is available on loans up to £300,000.
The society’s 3-year fixed rate has also been reduced from 3.99% to 3.49%. Both products are available for loans up to 50% loan-to-value (LTV) on properties across Scotland and come with a £995 fee.
Paul Alexander (pictured), head of business development and sales strategy at the society, said: “As one of the first lenders to launch a Retirement Interest-only mortgage, we have been delighted with the uptake to date.
“The 5-year fixed rate has been introduced in response to feedback from brokers.
“Our individual underwriting and flexible approach means we may be able to lend when mainstream lenders cannot. Our business development team are happy to discuss individual circumstances.”