Tesco Bank unveils 1.68% five-year fix remortgage rate
Both deals are available at 60% loan to value (LTV).
The lender said its new five-year mortgage at 1.68% with a £995 product fee was now the lowest on the market.
It also cut the rate on its two-year remortgage product at 60% LTV with no fee to 1.53%.
Both products will move onto the lender’s standard variable rate (currently 3.89%) at the end of the fixed-rate period and early repayment charges may apply.
Tesco Bank managing director David McCreadie, said: “We are pleased to introduce our new market-leading five-year fixed rate product for customers who are looking to remortgage their home, helping them to make their money go that little bit further.”
Charlotte Nelson, finance expert at data site, Moneyfacts, said: “The Tesco Bank 1.68% five-year fixed rate mortgage is highly competitive and enters the market as the lowest deal in the five-year sector, making this a great option for remortgagors looking to keep monthly repayments low.
“The 1.53% two-year fixed rate mortgage is also a competitive option sitting amongst the top five lowest two-year fixed rates with no fee. As a result this deal is likely to be a cost-effective choice for those with the required 60% deposit.”