Type: Fixed rate mortgage
Fixed term: Until December 31, 2007
Fixed rate: 4.69%
Minimum loan: 15,000
Maximum loan: Up to 95% of valuation subject to a maximum of 250,000, up to 90% of valuation subject to a maximum of 500,000, up to 85% of valuation subject to a maximum of 1m
Income multiples: Based on affordability and credit score
Conditions: Free valuation, 250 cashback or free mortgage transfer service for remortgages
Arrangement fee: None
Redemption fee: 3% of mortgage balance until December 31, 2007
Introducers fee: Subject to negotiation
Tel: 0870 0100657
Alliance & Leicester has introduced a two year fixed-rate feesaver deal at 4.69 per cent until December 31, 2007.
Brian Pack Financial Services principal Brian Pack thinks that at 4.69 per cent this is a reasonable two-year deal, which reverts to Bank of England base rate plus 0.95 per cent after the fixed-rate period.
No legal fees, a refunded valuation fee and no overhanging penalties are very good incentives. Add to that a maximum loan of up to 95 per cent of valuation, it looks a very attractive offer.
There is nothing Pack dislikes about the product. When asked which deals will provide competition he says: Nothing springs to mind but Im sure there will be products launched very soon.
In conclusion Pack says: This is a very good product which should boost Alliance & Leicesters market share.
Suitability to market: Good
Competitiveness of mortgage rate: Good
Adviser remuneration: Average