Precise Mortgages has scrapped the £995 arrangement fee on its prime home buyer mortgage range and doubled cashback for remortgages to £1,000 in an effort to boost lending.
The £995 fee on the two-year fixed-rate products, launched in September and available at up to 70 per cent, was axed this week and the cashback on the remortgage option was doubled from £500 to £1,000.
Precise has also made its prime range available to the whole of the intermediary market. It was previously exclusive to Legal and General Mortgage Club and Sesame Bankhall Group.
Earlier this month, Precise cut the rate on the prime range from 3.49 per cent to 2.89 per cent in response to rate cuts by the major high-street banks.
Precise managing director Alan Cleary (pictured) says: “We are serious about breaking into the prime mortgage market and we hope these products will be well received by brokers.”
London & Country head of communications David Hollingworth says: “Getting rid of the fee broadens the products’ appeal to borrowers, whole having a good cashback offer to reimburse borrowing costs will go down well with remortgage customers.
“Precise recognises it is a competitive market and is clearly striving to do more business.”