27 February, 2018
Tesco Bank launches a new range of mortgage products
New products include leading 5 year fixed rate mortgage
Tesco Bank is set to help more customers buy their home with the launch of a new range of mortgages. Mortgage customers benefit from Tesco Bank’s commitment to outstanding customer service, competitive rates and the ability to collect Clubcard points on their monthly repayments.
The bank is offering customers some of the most competitive 5 year fixed rate mortgages on the market, while reducing rates on a selection of its 2 year, 3 year and 5 year fixed rate house purchase and remortgage products. A highlight of the latest range includes the leading 5 year fixed rate mortgage at 2.11%.
Julian Hartley, Director of Mortgages, Savings and Loans said:
“We are delighted to be launching a new range of mortgage rates today, reducing the rates on a number of our 2 year, 3 year and 5 year fixed rate mortgage and remortgage products while offering one of the most competitive 5 year fixed rate mortgages on the market. This new range illustrates our continued commitment to offering our customers great value products they can rely on. As an extra little help, Tesco Bank Mortgage customers can also collect Clubcard points on their monthly mortgage repayments, giving them access to a great range of Clubcard Reward Partners”.
The following new house purchase and remortgage products are available through Tesco Bank:
|Product||Max LTV||House Purchase (HP) or Remortgage (RM)||Rate||Product Fee||APR|
|2 year fixed until 31/05/2020||60%||HP||1.79%||£0||3.7%|
|3 year fixed until 31/05/2021||60%||HP||1.83%||£0||3.5%|
|5 year fixed until 31/05/2023||60%||RM||2.02%||£0||3.3%|
All products will move onto the Tesco Bank Standard Variable Rate (currently 4.04%) at the end of the initial fixed rate period. Early Repayment Charges may apply during the initial fixed rate period.
For media enquires or further information please contact:
Tesco Bank press office:
+44 (0)131 264 3152 / +44 (0)7841 456 956
Notes to editors:
*This product is leading in the direct market as of 27th February 2018
Representative example: A mortgage of £129,000 with an assumed start date of 01/06/2018 payable over 33 years initially on a fixed rate for 2 years at 1.96% and then on our current variable rate of 4.04% for the remaining 31 years would require 24 monthly payments of £442.64 and 372 monthly payments of £581.86.
The total amount payable would be £225,939.04 made up of the loan amount plus interest of £96,824.04, a product fee of £0 and a valuation fee of £0. Please refer to your Mortgage Illustration for details on other fees payable on your mortgage.
The overall cost for comparison is 3.4% APRC Representative
Clubcard Points: Tesco Bank Mortgage customers can collect one Clubcard point for every £4 on their monthly repayments. Points are also collected on overpayments, but not on any overpayment made to pay off the mortgage in full. Clubcard points are not collected on any fees or charges paid separately from monthly payments. Clubcard points collection rates are subject to change and points will be added within 6 weeks of payment. The Tesco Clubcard Scheme is administered by Tesco Stores Limited, Tesco House, Shire Park, Kestrel Way, Welwyn Garden City, AL7 1GA, who are responsible for fulfilling points.
About Tesco Bank Mortgages:
Tesco Bank has been offering an award winning range of mortgage and remortgage products since August 2012. Our customers benefit from the additional help of Clubcard points, giving them access to a range of Clubcard Reward Partners.
YOUR HOME MAY BE REPOSSESSED, AS A LAST RESORT, IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.
Tesco Bank’s goal is to make banking and insurance easier and better value for people who shop at Tesco. We’ve been around since 1997 and today we help more than 5 million customers every day with everything from insuring their pets, to buying their first home. Our 4,000 colleagues serve our customers seven days a week from our three main centres in Edinburgh, Glasgow and Newcastle, and we are also available through online and mobile banking 24/7.
Tesco Bank is a trading name of Tesco Personal Finance plc. Registered in Scotland No. 173199. Registered Address: EHQ, 2 South Gyle Crescent, Edinburgh, EH12 9FQ
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For journalist enquiries only, contact the Tesco Bank Press Office on:
+44 (0)131 274 3630
+44 (0)7595 441 036