It withdrew its market-leading two-year tracker at its last rate review and replaced it with a rate which was not quite so competitive. As a result, I think its service levels are returning to normal.Looking at this range, it has improved its fixed rates slightly but I think this is mainly down to recent falls in swap rates, which make fixed rates cheaper to fund, rather than Abbey’s desire to win more business. The two-year fixed rate at 75 per cent LTV of 5.14 per cent compares well with its main competitors Halifax, Woolwich, Nationwide and Northern Rock but is beaten by Chelten-ham and Gloucester’s 4.99 per cent rate, which come with a free valuation and free conveyancing for remortgages. The 5.24 per cent five-year fixed rate beats most of the Abbey’s bigger competitors apart from Northern Rock and Nationwide which have 5.19 per cent rates although admittedly the Rock deal has a much bigger arrangement fee of 695 compared with Abbey’s 399. I do like the way Abbey has a 60 per cent loan to value banding. Too many other lenders are obsessed with creating products for high loan to values and neglect clients who have big deposits of amounts of equity. The two-year tracker at 4.59 per cent for 60 per cent LTV looks excellent. I really like Abbey’s lifetime tracker deal at base plus 0.49 per cent for the life of the loan for clients who do not want to remortgage every couple of years. Jonathan Cornell is associate director of Hamptons International Mortgages
There has been a lot of talk about the positive impact on the self-invested personal pension market of the simplification proposals, particularly the opportunities arising from the new investment freedoms. However, far less has been said about the increasingly restrictive impact of the governing rules on protected rights.
The Exchange announces Genesis Home Loans has selected the Exweb Broker portal to support its new arrangements for the sale of protection products. Exweb Broker will help Genesis manage its relationships with providers and enable its members to submit new business applications electronically for a range of protection products. Exweb Broker is a tailored version […]
Seven months ago, Fidelity launched its India focus fund, which has attracted no less than $1bn of assets.
Morgans Financial Planning is setting up specialist mortgage company Digital Orange. The firm has invested in back-office systems to cut paperwork and believes that over the next couple of years, all mortgage advisers will use an online operation. Digital Orange is aiming to be working totally online by the end of the year. Principal Neil […]
The Department for Work and Pensions (DWP) has recently published new research, which once again demonstrates how the prospect of retirement is changing for older workers.
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