Northern Rock Cuts Mortgage Rates Across Its Range
Released on: July 12, 2011, 10:37 am
Northern Rock has reduced mortgage rates both across its core
residential and Buy To Let ranges, and its selection of Intermediary
First time buyers will benefit from many of the changes as Northern Rock continues
to offer support to those with smaller deposits. 2-year Everyday fixed rate mortgages at 85% LTV (15% deposit
required) with no product fee are now available from just 4.38%.
The lender has also made a number of reductions to its 'with fee' products, for
customers who choose to pay a product fee in order to access a lower interest rate.
2 Year Fixed rates with a £995 fee start from 2.99% up to 70% LTV (30% deposit).
For borrowers who are looking to fix their interest rate over a longer period
Northern Rock also offers competitively priced 3-Year and 5-Year Fixed rates. 5 Year
Fixed rates start at 3.99% with £995 fee up to 70% LTV (30% deposit).
Northern Rock also continues to offer Fee Saver Option (FSO) products for consumers
who are looking to keep their fee costs as low as possible. The lender has
simplified the pricing on its Fee Saver Options, with standardised premiums of 0.45%
on 2-year products, 0.40% on 3-year products and 0.35% on 5-year products.
Remortgage customers will also benefit from Northern Rock's incentive of a free
basic valuation and free standard legal costs.
Northern Rock has made several improvements to its BTL product range in recent
weeks, and has now made rate reductions of up to 0.70% on its BTL Fixed rates and
Buy to Let Fixed rates for customers choosing to pay a £1,995 product fee start from
3.89% at 60% LTV (40% deposit). Borrowers with a 30% deposit (70% LTV) can opt for a
2-Year Everyday Fixed rate mortgage with a £1,995 fee at 4.10%.
Alongside the changes to its core product range, the lender has also improved the
Fee Saver Options within its range of mortgage products available exclusively
through Northern Rock's intermediary partners. A 2-year FSO exclusive to brokers at
70% LTV (requiring a 30% deposit) is now available from 3.25%, while the equivalent
3-year product is available at 3.64%.
Everyday mortgages offer customers simple, straightforward mortgage deals with
competitive rates and the ability to make overpayments of up to 10% each year, as
well as the option to apply for payment holidays. Northern Rock continues to operate
its mortgage product range within the constraints of the competitive measures agreed
with the European Commission.
About Northern Rock:
Northern Rock plc is a new bank, authorised by the FSA as a deposit taker and
mortgage lender from 1 January 2010. It offers savings accounts and cash ISA to customers in the UK
and Ireland and mortgage products to UK borrowers. New products are offered through
both direct channels - including a national branch network - and mortgage
intermediaries. It also offers a mortgage calculator on its website.
Northern Rock continues to operate within the compensatory measures agreed with the
EC as part of the State Aid approval announced in October 2009.
On Everyday mortgage products, the Early Repayment Charge (ERC), currently 4% of the
outstanding secured loan balance; will apply to the outstanding secured loan balance
at the time of redemption until the end of the respective incentive period. Any
overpayments in excess of the 10% annual allowance will also be subject to the Early
In June 2011, Northern Rock was awarded a national Big Tick Award in Business in the
Community's Awards for Excellence, in the category of Building Stronger
Northern Rock House
Newcastle upon Tyne
0191 279 4676
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