View more on these topics

National Counties offers remortgage only deal

National Counties Building Society has brought out a remortgage product that is fixed at 4.39 per cent until October 31, 2015.

This end date makes the fixed term not quite four years but longer than three years. The deal is available for loans up to 90 per cent of valuation to a £250,000 maximum. Capital repayments of up to 10 per cent a year are allowed but exceeding this will result in an early repayment charge.

The early repayment charge charges 4 per cent for the first few months following the July 2, 2012 completion deadline, then follows the more conventional pattern of reducing the charge by 1 per cent every calendar year from October 31. The deal also offers valuation and legal fee incentives.

Defaqto insight analyst for banking David Black points out that there are currently 282 fixed-rate mortgages with a maximum LTV of 90 per cent. Of these, 106 are available for remortgage, while 82 are for remortgage and purchase. Around 53 per cent of the remortgage only deals offer a valuation incentive and 52 per cent offer legal fee incentives. These figures drop to 39 per cent and 40 per cent respectively for deals that are available for both purchase and remortgage.

Black says: “As a generalisation, there tends to be little difference in interest rates charged for remortgages compared with purchase mortgages, but the former tend to be more generous in terms of valuation and legal fee incentives.

“Four-year fixed rate mortgages offering 90 per cent LTV are thin on the ground, with only six available. The National Counties offering is the pick of these by a distance, albeit its maturity date is just over four months shy of four years.”

Recommended

Hoban makes capital Euro plea

Treasury financial secretary Mark Hoban has warned the European Commission not to impose any rules which will undermine the ability of UK regulators to go beyond the capital requirements set out in Basel III. The latest Basel accord originated in an agreement by the G20 and would set a minimum core tier-one capital requirement for […]

Will it be further three years for 0.5% bank rate?

The Bank of England’s monetary policy committee has kept bank rate at 0.5 per cent for the 36th consecutive month and has held its programme of quantitative easing at £325bn. Last month, the MPC voted to increase QE by £50bn from £275bn. The MPC says it expects the latest round of QE to take two […]

26

Hoban: I’ve tried and failed to think of better FSCS funding

Treasury financial secretary Mark Hoban says he has tried and failed to find a better way of funding the Financial Services Compensation Scheme. Advisers paid £93m out of a total £326m interim industry FSCS levy in January 2011, mainly to cover the cost of claims relating to Keydata. The FSCS announced this week that investment […]

1

Court of Appeal rejects union CPI challenge

Six public sector trade unions have had a bid to reverse the Government’s decision to switch pensions indexation from RPI to CPI rejected by the Court of Appeal. The unions launched the legal challenge after the change to CPI indexation, which tends to be lower than RPI, was announced by Chancellor George Osborne (pictured) in […]

Scheme pays explained

By Fiona Hanrahan, senior product insight and technical support analyst We’ve received lots of queries on scheme pays and when it can be used. This article explains how it works and the conditions which apply. What is ‘scheme pays’? If an individual exceeds the annual allowance (AA) and an AA tax charge is due, they […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com