You are here: Home - Mortgages - First Time Buyer - News -

Mortgage lender offers Help to Buy ISA customers £1,000 bonus

Written by: Paloma Kubiak
Vernon Building Society is offering Help to Buy ISA customers a bonus of up to £1,000 but you have to take out a mortgage with the mutual society and live locally to qualify.

Under the Help to Buy ISA scheme, the government will top up your savings with a 25% bonus, up to a maximum of £3,000 on savings of £12,000. The new deal will see the Stockport-based building society add a further 10% of the capital balance – up to £1,000 – when a mortgage is completed with the society.

The deal, which is open to new and existing Help to Buy ISA customers, launches on 1 April.

The Vernon Help to Buy ISA currently pays 2.10% but from 1 April, the rate will increase to 2.25%.

The Vernon’s savings products are only available to people living within a 25-mile radius of Stockport.

Savers with a Help to Buy ISA can deposit a maximum of £1,200 in the first month and £200 a month thereafter up to £12,000. The money must be used to purchase a property worth under £250,000 or under £450,000 in London.

Ian Keeling, the Vernon Building Society’s head of sales and marketing, said: “House prices continue to outstrip wage increases with the housing crisis showing no immediate sign of abating. Many young people still dream of owning their own home and the freedom associated with it.

“Our first-time buyer savings and mortgage products are exclusively available to local people and we hope our innovative take on the Help to Buy: ISA will make the journey onto the first rung of the housing ladder more achievable.”

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

The savings accounts paying the most interest

It’s time to get your finances in shape, and moving your cash savings to a higher paying deal is a good plac...

Everything you need to know about being furloughed

Few people had heard of ‘furlough’ before March 2020, but the coronavirus pandemic thrust the idea of bein...

The experts’ guide to sorting out your personal finances in 2021

From opting to ‘low spend’ months to imposing your own ‘cooling-off period’, industry experts reveal t...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week