First direct has launched a market-leading offset tracker, which tracks at 2.08% above the Bank of England’s base rate, offering a current rate of 2.58%.The lender, which is part of the HSBC group, claims the deal is the best of its kind on the market, for a maximum loan to value ratio of 65%.It comes [...]
The First Direct Tracker Mortgage was a market leader last week but only if you look at headline rate. It has an LTV of 65% so it is only a leading product if you have a deposit of 35%. This means that a lot of the consumers in the market it reportedly leads could not access the product.
By the time of this article has been posted to this forum the First Direct Tracker Mortgage has been surpassed by a far better product from the Newcastle Building Society which has a rate of 2.49%, 0.09% lower than the aforementioned First Direct Product and an LTV of 80%. Making it far more accessible to the entire market.
I nearly remortgaged with an offset accountat First Direct that was pretty similar.
Instead went with Nationwide, but now I think the offset would have been better because I pay via quarterly dividends, and so would have gained extra benefits.
What put me off from First Direct is when I contacted them, they stated it would take around 3 months to set up the new mortgage, which seemed an awfully long time.
first direct launches 2.58% offset tracker
