The Mortgage Operation is offering a three-year mortgage fixed at 6.59 per
cent, with the redemption period extending a year after the fix ends.
Clients can cut the period of the redemption penalty to the fixed per^_iod
at an additional 0.1 per cent on the rate.
TMO says the loan is in response to public demand
for short redemption
and flexible payments with-
out penalties. It is being
fun^_ded by Halifax Mortgage Services.
The loan applies to purchases and remortgages and also features mortgage
indemnity guarantee-free cases up to 90 per cent loan to value.
The mortgage can also be used for raising capital. Interest is calculated
on a monthly basis and the loan is also
fully portable. Advisers who
complete a “short redemption fixed” mortgage will get a procuration fee of
TMO marketing director Josh Cooper says: “Increasingly, the
mortgage-seeking public are demanding short redemption lock-ins and a
degree of flexibility around overpayments without incurring a penalty. We
expect this product to become a very
First Active is offering a
two-year stepped discount rate on its
current account flex-
A discount of 1.5 per cent applies to First Active's standard variable
rate in the first year followed by a 1 per cent discount in the second
This takes the rate down in year one to 6.24 per cent up to 75 per cent
LTV, 6.49 per cent up to 85 per cent LTV and 6.74 per cent up to 95 per
The mortgage is designed to be totally flexible, with no redemption
penalties, compulsory insurances or mortgage indemnity guarantee.
Overpayments are allowed at any time for any amount and interest is
charged on a daily basis. The money can be drawn down again at any time.
The loan offers full banking facilities, including a chequebook and
cashcard, and there is an option to pay in salary.
First Active spokeswoman Natasha Plackett says: “With many people
expecting interest rates to peak this year and then fall next year, the
higher discount in the first year is