Tesco Bank has launched its first range of 90 per cent loan-to-value mortgage products, on a range of two-year, three-year and five-year fixed rates.
The new products include mortgages of up to 90 per cent loan-to-value (LTV) with interest rates starting from 3.49 per cent fixed until 30/11/2016. Customers will also have the flexibility to make regular or lump sum overpayments of up to 20 per cent of the outstanding balance each year during the initial rate period with no early repayment charge.
Customers will also receive one point on their Clubcard for every £4 on monthly mortgage repayments.
Tesco Bank recently won the 2014 What Mortgage Award for ‘Best Direct Lender’, as voted for by consumers, and Moneynet’s ‘Best Direct Mortgage Provider’ 2014 Award.
David McCreadie, managing director of banking at Tesco Bank, says:
“The extension of our range into the 90 per cent LTV market will allow us to help many more people make one of the most important purchases of their lives. We are helping more and more customers everyday with their banking needs and we have now lent more than £1 billion to our mortgage customers.”
All products will move onto the Tesco Bank Standard Variable Rate (currently 4.24 per cent) at the end of the initial fixed rate period. Early Repayment Charges may apply during the initial fixed rate period.
Mortgage Rates
| Product |
Max LTV |
£800 Product Fee Option Initial Rate | APR | No Product Fee Option Initial Rate | APR | Non-refundable booking fee |
| 2 Year Fixed
|
90% |
3.49% | 4.3% | 3.79% | 4.3% | £195 |
| 3 Year Fixed |
90% |
3.99% | 4.3% | 4.29% | 4.4% | £195 |
| 5 Year Fixed | 90% | 4.29% | 4.4% | 4.59% | 4.5% | £195 |
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