Coventry Building Society is offering a mortgage fixed at 6.9 per cent until November 2002 up to 75 per cent loan to value.
At the end of the term, borrowers will automatically qualify for the society's privilege rate which is currently 7.95 per cent. Arrangement fee is £295. Early redemption penalty is six months' interest. There are no conditional insurances.
Chief executive Martin Ritchley says: "The product offers long-term stability with the interest fixed initially at a low rate, after which customers will automatically transfer."