Skip to main content

Post Office reduces mortgage rates to best ever deals

Press Release   •   Jun 06, 2013 23:00 BST

- Table-topping rate reductions on fixed rate products


The Post Office will offer customers its best ever mortgage range as it cuts rates on many products, three of which are now the best in market.

The two year fixed rate products which top the best buy tables come without an arrangement fee. There’s also good news for second-time buyers and those looking to remortgage with a new fixed rate deal at 1.70% (£1,995 fee) at 60% LTV for two years.

The new rates include:

- Two year fixed rate (no fee) at 3.19% (80% LTV) – market leading

- Two year fixed rate (no fee) at 3.49% (85% LTV) – market leading

- Five year fixed rate (£995 fee) at 2.85% (75% LTV) – market leading with fee below £995

- Two year fixed rate (£1,995 fee) at 1.70% (60% LTV)

- Five year fixed rate (£995 fee) at 3.69% (85% LTV)

These products will be available to customers from 7 June.

John Willcock, Head of Post Office Mortgages, said: “Post Office’s new mortgage rates are our best ever and offer a range of deals for potential homebuyers, whatever their situation. The rates on many of our products have been significantly reduced, while some are also fee-free. Buyers are hungry for a good deal and our new rates offer some of the most competitive in the market. The diversity of our range means whether you’re hunting for your first ever home or looking to move, there is something suitable for your needs. We put our customers first and want to offer the best range possible to help them buy their home in the way that suits them best.

“Our two year fixed rate mortgage at 3.49% (85% LTV) comes without an arrangement fee and is ideal for those borrowers who are looking for a mortgage with a smaller deposit. Saving up the money for a deposit can sometimes seem like a real struggle so every effort must be made to keep initial costs at a low.”

Customers can pick up information about the new mortgage range and rates online at postoffice.co.uk/mortgages or from one of over 11,500 Post Offices branches across the UK. Customers can also arrange a call-back from a mortgage specialist at the call centre, via all branches, or call the Post Office directly on 0800 077 8033. To view the terms and conditions for the offer, please visit postoffice.co.uk.

Ends


FULL DETAILS OF ALL MORTGAGES AVAILABLE:

60% LTV Fixed Rates

Rate and Arrangement Fee

2 Year

1.70% fixed

£1,995

2 Year

1.99% fixed

£995

2 Year

2.55% fixed

£0

2 Year

2.55% fixed

£495

2 Year

2.69% fixed

£0

3 Year

2.35% fixed

£995

5 Year

2.55% fixed

£1,495

5 Year

2.98% fixed

£0

5 Year

3.09% fixed

£0

75% LTV Fixed Rates

Rate and Arrangement Fee

2 Year

2.28% fixed

£995

2 Year

2.85% fixed

£0

2 Year

2.79% fixed

£495

2 Year

2.99% fixed

£0

3 Year

2.45% fixed

£995

3 Year

2.99% fixed

£0

5 Year

2.85% fixed

£995

5 Year

3.15% fixed

£0

5 Year

3.29% fixed

£0

80% LTV Fixed Rates

Rate and Arrangement Fee

2 Year

2.79% fixed

£995

2 Year

3.19% fixed

£0

2 Year

3.69% fixed

£0

3 Year

3.25% fixed

£995

3 Year

3.75% fixed

£0

5 Year

3.45% fixed

£995

5 Year

3.99% fixed

£0

80% LTV Fixed Rates

Rate and Arrangement Fee

2 Year

3.29% fixed

£995

2 Year

3.49% fixed

£0

2 Year

4.09% fixed

£0

3 Year

3.79% fixed

£995

3 Year

4.19% fixed

£0

5 Year

3.69% fixed

£995

5 Year

3.99% fixed

£0

5 Year

4.39% fixed

£0

90% LTV Fixed Rates

Rate and Arrangement Fee

2 Year

3.99% fixed

£1,495

5 Year

4.75% fixed

£0

2 year tracker

Rate and Arrangement Fee

2 Year

2.89% variable

£995

2 Year

3.49% variable

£995

2 Year

3.79% variable

£995

2 Year

5.25% variable

£995

In August 2012 Post Office introduced Mortgage Specialists to four of its larger branches in the UK, and a further three branches in November 2012. The Mortgage Specialists are able to discuss each individual’s needs and answer questions to help customers make an informed decision about the suitability of the products. In addition, the majority of customers will be able to get a decision in principle within minutes. First time buyers, those wishing to move, or customers looking to switch to a better deal will be able to book a free, no-obligation appointment in selected branches.

Post Office Limited has an unrivalled national network of over 11,500 branches across the UK, more than all the high street banks combined, and sits at the heart of many communities across the country. The Post Office has made a commitment to no more branch closure programmes. It provides around 170 different services and products spanning financial services including savings, insurance, loans, mortgages and credit cards. Post Office also offers Government services; telephony; foreign currency; travel insurance and mail services.

It serves around 20 million customers a week and half of all small businesses. 93% of the total population live within one mile of a post office and 99.7% within three miles. For many rural communities the post office is the only retail outlet. Post offices remain highly valued and trusted and are the focal point for many communities. For more information, visit postoffice.co.uk.

Post Office mortgages in 2012 have won the following awards from What Mortgage magazine – Best fixed Rate Provider and Best Online Lender for the third year, and recently have also received Best Online Lender from Your Mortgage for the fourth year running.

Post Office Mortgages are offered in partnership with Bank of Ireland UK. Bank of Ireland UK has been the exclusive partner to the Post Office for the provision of financial services and products since 2003. The partners’ venture has become one of the UK’s fastest growing financial service providers with almost three million customers and a savings book of £18 billion.

Bank of Ireland has supported customers in the UK for many decades. Bank of Ireland UK plc, is a wholly owned subsidiary of Bank of Ireland Group, separately incorporated and is authorised and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Activities related to the Post Office partnership are conducted within this entity and as such, all retail deposits up to £85,000 with the Post Office are protected under the UK’s Financial Services Compensation Scheme and ring-fenced in the UK. At 31 December 2012 Bank of Ireland (UK) plc had a loan to deposit ratio of 77% with customer deposits of £23.3 billion utilised to fund customer lending of £18 billion (primarily comprising £12.6 billion of UK residential mortgages). In November 2010, in the UK Government's report 'Securing the Post Office network in the digital age', Bank of Ireland UK received the explicit support of the Coalition Government for its continued partnership with the Post Office.

Contact - Carmel McCarthy

About the Post Office

The Post Office (Post Office Limited) has an unrivalled national network of over 11,500 branches across the UK, more than all the high street banks combined, and sits at the heart of communities in Northern Ireland, Scotland, Wales and England. The Post Office has made a commitment to maintaining its network of branches at its current size and reach. It provides around 170 different products and services spanning financial services including savings, insurance, loans, mortgages and credit cards; Government services; telephony; foreign currency; travel insurance and mail services.

The Post Office serves over 17 million customers a week and a third of small businesses. Some 99.7% of the total population live within three miles of a post office and over 97% live with one mile of a post office. For many rural communities, the post office is the only retail outlet. Post Offices branches remain highly valued and trusted, and are the focal point of many communities. For more information, visit http://www.postoffice.co.uk/.

Please note the Press Office team can only deal with enquiries from the media.  Unfortunately they do not have access to customer information so can not help with customer enquiries.

If you have an enquiry regarding any Post Office product or service please visit postoffice.co.uk or call 0845Local call rates apply. Call costs may vary depending on your service provider. Calls may be monitored or recorded for training and compliance purposes. 611 2970.