View more on these topics

Nationwide provides popular choice

Nationwide Building Society

Two Year Tracker Mortgage

Type: Tracker mortgage

Tracker term: Two years

Tracker rate: Up to 95% of valuation 0.54% above Bank of England base rate, up to 90% of valuation 0.04% above Bank of England base rate

Payable rate: Up to 95% of valuation 5.29%, up to 90% of valuation 4.79%

Minimum loan: 1

Maximum loan: Up to 95% of valuation subject to a maximum of 200,000, up to 90% of valuation subject to a maximum of 300,000, up to 85% of valuation subject to a maximum of 400,000, up to 80% of valuation subject to a maximum of 700,000, up to 75% of valuation subject to a maximum of 1m, up to 60% of valuation subject to no maximum

Income multiples: Based on affordability calculation and credit score

Conditions: Free legal fees and valuation for remortgages

Flexible features: Overpayments up to 500 a month, underpayments, payment holidays, lump sum withdrawals, interest calculated daily

Arrangement fee: 389

Redemption fee: 2% of mortgage balance in year one, 1% in year two

Introducers fee: Subject to negotiation

Tel: 0800 302010

Nationwides two year tracker mortgage offers a rate of the Bank of England base rate plus 0.54 per cent for loans up to 95 per cent of valuation and Bank of England base rate plus 0.04 per cent for loans up to 90 per cent of valuation.

Brian Pack Financial Services proprietor Brian Pack says: “As tracker rates are becoming very popular this is a good time to introduce a new range of tracker rates. The current payable rate of 4.79 to 5.29 per cent is fairly competitive, together with the major asset of Nationwides low base rate.”

Considering the attractiveness of the redemption terms, Pack feels the early redemption fees are average and likes the fact that they do not overhang the two-year term. He also regards the negotiable introducers fee as average.

However, the arrangement fee gets the thumbs down from Pack. He says: “The arrangement fee of 389 is a little high, but the trend is towards higher product fees.”
Although Pack highlights five or six other lenders with trackers equal to the Nationwide product, he thinks Nationwide will be better in the long run with its low base rate. He concludes: “Nationwide is always in my top five lenders with its low base rates and normally good service.”


Suitability to market: Good
Flexibility: Good
Competitiveness of mortgage rate: Good
Adviser remuneration: Average

Overall 8/10


Zurich cuts cover rates by 25%

Zurich returns to the protection market following its recent re-brand to Zurich Assurance. It announces the reduction of its critical illness, term assurance and decreasing mortgage cover products by 25 per cent. It also proposes to review its rates on income protection and adaptable life plan in the second half of the year. Zurich has […]

Shore relations

Our panel of experts talk about the difference between onshore and offshore IHT plans and the advantages for UK investors.

Tom baigrie on protection

To reproduce a quote from a client in The Sunday Times recently: “I wanted to pay the lowest possible premiums but get the best possible cover. I felt it was a much better option to ask the experts than try and search the market myself. I would now always advise my friends and family to take advice. Any rules that lift the standard of advice available when you buy insurance policies can only be a good thing for consumers.”


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    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