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Virgin Money cuts mortgage rates and launches 60% LTV products

  • New 60% LTV 2 year fixed rate available from 2.99%
  • 2 year fixed rates reduced across LTV tiers, including 90% LTV, by up to 0.20%
  • Residential 3 year fixed rates reduced – available from 3.49% at 70% LTV
  • Selected 5 year fixed rates reduced by 0.20%

Virgin Money is reducing interest rates across a number of its residential and buy to let mortgage products, and is also adding a new 60% LTV tier for residential mortgage customers.  The updated range will be available from Friday 3 August 2012.

The new 60% LTV fixed rates will be available to both purchase and remortgage customers at 2.99% with a product fee, or 3.39% with no product fee.  As with other products in the range, customers remortgaging from another lender will benefit from free standard legal services and a free basic valuation.

A number of rate reductions are also being made across the existing product range.  2 year fixed rates will be reduced across LTV tiers from 70% to 90% – so customers with lower deposits will also benefit.  The 70% LTV 2 year fixed rate will be reduced to 3.19% (with a product fee), with rates at 80%, 85% and 90% also reducing by up to 0.20%.  3 year fixed rates will fall to 3.49% (up to 70% LTV with a product fee).  5 year fixes will reduce to 3.59% up to 70% LTV, and 3.79% up to 75% LTV (with product fees).  Cashback of up to £300 also remains available on a selection of residential purchase products.

Buy to let fixed rate loans have been reduced by up to 0.41%, and will be available from 3.99% for 2 years, 4.39% for 3 years or 4.59% for 5 years.  The buy to let range continues to offer cashback of £500 on completion. 

The new mortgage products are offered by Northern Rock plc and are available through registered mortgage intermediaries as well as online, over the phone and through the nationwide network of stores. Details of the full range are available to direct customers at www.northernrock.co.uk/mortgages/ and to brokers at www.northernrock.co.uk/intermediaries/.

Media Contacts
Press Office
Tel: 0191 279 4676
email: press.office@virginmoney.co.uk    


PRODUCT DETAILS

Residential Everyday fixed rate mortgages

Purchase

Remortgage

Fixed term

Max LTV

£995
Product Fee

Fee Saver
Option

£995
Product Fee

Fee Saver
Option

2 years

60%

2.99%

3.39%

2.99%

3.39%

70%

3.19%

3.59%

3.19%

3.59%

75%

3.45%

4.09%

3.45%

4.09%

80%

4.19%1

4.58%

4.19%

4.58%

85%

4.79%1

5.08%

4.79%

5.08%

90%

5.89%1

6.19%

n/a

n/a

3 years

70%

3.49%

3.95%

3.49%

3.95%

75%

3.69%

4.28%

3.69%

4.28%

80%

4.38%1

4.68%

4.38%

4.68%

85%

5.09%1

5.18%

5.09%

5.18%

90%

6.19%1

6.29%

n/a

n/a

5 years

70%

3.59%

4.08%

3.59%

4.08%

75%

3.79%

4.68%

3.79%

4.68%

80%

4.58%1

4.99%

4.58%

4.99%

85%

5.19%1

5.28%

5.19%

5.28%

90%

6.29%1

6.39%

n/a

n/a

1 – includes cashback of £300

Buy to Let mortgages – all including cashback of £500

Product

Max LTV

£1,995 fee

£995 fee

2.5% fee

2.0% fee

Fee Saver Option

2 year fixed

60%

3.99%

4.39%

3.85%

4.39%

5.35%

70%

4.09%

4.59%

4.28%

4.65%

5.75%

3 year fixed

60%

4.39%

4.75%

4.29%

4.65%

5.59%

70%

4.65%

4.85%

4.45%

4.89%

5.89%

5 year fixed

60%

4.59%

4.88%

4.49%

4.99%

5.79%

70%

4.75%

5.09%

4.59%

5.09%

5.99%

2 year tracker

60%

n/a

4.18%

3.65%

3.89%

n/a

70%

n/a

4.48%

3.80%

4.04%

n/a



Early Repayment Charges
Following the fixed rate period, the loan will revert to Northern Rock’s Standard Variable Rate (SVR), (currently 4.79%) for the life of the loan.  On Everyday products, the Early Repayment Charge will apply to the outstanding secured loan balance at the time of redemption. Any overpayments in excess of the 10% annual allowance will also be subject to the Early Repayment Charge.

Fee Saver Option
The Fee Saver Option is ideal for customers looking to keep their fee costs as low as possible. This option is available across most of the range of mortgage products, enabling customers to choose between lower rates on a range of Product Fees, or paying a slightly higher rate without a Product Fee. Where fees are added to the loan they will incur interest for the term of the loan.

Applications
Products are available through registered mortgage intermediaries, via the UK based call centre on 0800 0285 277, at www.northernrock.co.uk/mortgages or through the nationwide network of stores.  Phone lines are open from 8am to 8pm Monday to Friday, 9am to 3pm Saturday, and 10am to 3pm on Sunday.

NOTES TO EDITORS

About Virgin Money

  • Following the acquisition of Northern Rock in January 2012, Virgin Money provides credit cards, mortgages, savings, pensions, investment and protection products to over four million customers
  • Virgin Money’s business ambition is to make “everyone better off” – this philosophy underpins our approach to business by offering good value to customers, treating employees well, making a positive contribution to society and delivering a profit to shareholders
  • Virgin is the official sponsor of the London Marathon, the biggest annual fundraising event in the world. Virgin Money leads the London Marathon sponsorship with the ambition to help runners raise £¼ billion over 5 years and will use its infrastructure, online capability and financial expertise to deliver that through Virgin Money Giving

 

Northern Rock plc Registered in England and Wales under company number 6952311.
Registered Office: Northern Rock House, Gosforth, Newcastle upon Tyne, NE3 4PL (Main Switchboard 0845 600 8401). Authorised and regulated by the Financial Services Authority.