Mutual One is offering a fees free three year stepped discount mortgage.
The discount is 3 per cent in year one, 2 per cent in year two and 1 per cent in year three and is available on loans up to 80 per cent of valuation.
The current standard variable to which the discounts apply is 6.94 per cent.
The loan which is exclusively available through FirstMortgage Intermediary, offers procuration fees of £150 to intermediaries.
There is a £295 arrangement fee, although this is refunded upon completion. There are no compulsory insurances.
Redemption penalty is 4 months gross interest if the loan is redeemed in the first four years and six months.
Mutual One is a company jointly owned by eight Midland based building societies.