Tesco Bank Removes Booking Fees on Mortgages

Tesco Bank has announced that it is simplifying the fee structure on its range of mortgages by removing all booking fees, helping to make it easier for customers to select the right mortgage for them.

The move comes as the Bank lowers the rates on its 95% LTV fixed-rate products and makes its 95% LTV mortgages available through brokers for the first time.

David McCreadie, Managing Director, Tesco Bank said: “We aim to make banking as simple as possible for customers. We’ve listened to feedback and I am pleased that we have been able to simplify our range by removing booking fees to make the fee structure easier for customers.

Widening our distribution to make 95% LTV mortgages available through brokers will also allow us to serve more customers, many of whom will be taking that important first step on the property ladder.”

About Tesco Bank Mortgages:

The following range of Tesco Bank mortgages is available through Tesco Mortgage Intermediaries and direct through Tesco Bank:

Product Max LTV Fee Product Product Fee APR No Fee Product

 

 

APR
2 year fixed until30/09/2018 60%

75%

80%

85%

90%

95%

1.67%

1.74%

1.84%

1.89%

2.28%

N/A

£1,300

£1,300

£995

£995

£995

N/A

3.9%

3.9%

3.9%

4.0%

4.0%

N/A

1.97%

2.04%

2.14%

2.19%

2.58%

3.74%

3.9%

3.9%

3.9%

4.0%

4.0%

4.3%

 
3 year fixed until

30/09/2019

60%

75%

80%

85%

90%

95%

1.99%

2.09%

2.34%

2.34%

2.99%

N/A

£995

£995

£995

£995

£995

N/A

3.8%

3.8%

3.9%

3.9%

4.0%

N/A

2.19%

2.29%

2.54%

2.54%

3.19%

3.99%

3.8%

3.8%

3.9%

3.9%

4.1%

4.4%

     
5 year fixed until

30/09/2021

60%

75%

80%

85%

90%

95%

2.19%

2.34%

2.44%

2.64%

3.24%

N/A

£995

£995

£995

£995

£995

N/A

3.5%

3.6%

3.7%

3.7%

4.0%

N/A

2.31%

2.46%

2.56%

2.76%

3.36%

4.29%

3.5%

3.6%

3.7%

3.7%

4.0%

4.5%

   
2 year tracker

until 30/09/2018

60%

 

 

 

75%

 

 

80%

 

 

85%

 

 

90%

1.47% (BoE* base rate plus 0.97%)

 

1.54% (BoE base rate plus 1.04%)

 

1.69% (BoE base rate plus 1.19%)

 

1.84% (BoE base rate plus 1.34%)

 

2.50% (BoE base rate plus 2.00%)

£995

 

 

 

£995

 

 

£995

 

 

£995

 

 

£995

3.9%

 

 

 

3.9%

 

 

3.9%

 

 

3.9%

 

 

4.1%

1.77% (BoE base rate plus 1.27%)

 

 

1.84% (BoE base rate plus 1.34%)

 

1.99% (BoE base rate plus 1.49%)

 

2.14% (BoE base rate plus 1.64%)

2.80% (BoE base rate plus 2.30%)

3.9%

 

 

 

3.9%

 

 

3.9%

 

 

3.9%

 

 

4.1%

 

*BoE is Bank of England

All products will move onto the Tesco Bank Standard Variable Rate (currently 4.24%) at the end of the initial fixed rate period. Early Repayment Charges may apply during the initial fixed or tracker rate period.

Features of Tesco Bank Mortgages:

  • Tesco Bank mortgages reward the loyalty of customers with Clubcard points as they repay their mortgage. Customers can collect one Clubcard point for every £4 on their monthly repayments.1
  • Flexibility to make regular or lump sum overpayments of up to 20% of the outstanding balance each year during the initial rate period, without having to pay an Early Repayment Charge.
  • Available for first-time buyers, home movers and those looking to remortgage.
  • Those remortgaging will also benefit from free standard legal fees and the first standard valuation.

Tesco Bank was named Best Direct Lender at the 2015 What Mortgage Awards, as well as Best Direct Mortgage Provider at the 2015 Moneynet Awards.

Author: Dylan Jones

Share This Post On
468 ad

Submit a Comment

Your email address will not be published. Required fields are marked *