Halifax Intermediaries fixed-rate range to favour repayments
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Halifax Intermediaries has announced that from April 10 its current fixed-rate products will only be available on a repayment basis and it is introducing new, higher rates for its interest only fixed-rate products.
Halifax says the scheme will reward borrowers who choose repayment products by offering them a more favourable interest rate on their mortgage - 0.2 per cent less - than those who choose an interest-only mortgage,
Halifax had previously made similar changes to its tracker range, splitting its products into those available interest-only and those on a repayment basis.
A spokeswoman for Halifax says the announcement is simply an extension of the scheme put in place for its tracker mortgages.
She says: “We launched it with our trackers to see how it went. We’ve kept an eye on it and now we think it is appropriate to apply it to our fixed-rates.
“It makes sense from a customers point of view to reward those customers that are doing the more responsible thing by repaying the capital.”
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