Nationwide is to cut rates on two of its mortgage products and introduce a new two-year tracker.
The building society today announced that from next week interest on fixed-rate mortgages and two of the existing two-year tracker deals will drop by up to 0.27 per cent.
Divisional director for mortgages Matthew Carter explained: “These price changes reinforce our message that, despite tougher market conditions, we remain very much open for business. These changes complement existing competitive three-year products with reductions to key fixed-rate and tracker deals.”
The new tracker mortgage will have an interest rate from 5.78 per cent – 0.2 per cent less than the existing option – but will charge a fee of £1,499, as opposed to £599.
Nationwide said it comes in response to feedback from borrowers.
Alliance & Leicester last week launched a two-year tracker deal with a rate of 5.98 per cent.
© Adfero Ltd