Hinckley & Rugby Building Society, which lends throughout England & Wales, has cut the interest rates on four discount mortgages, the fees on one and launched a brand new product.

The new mortgage is a two-year discount charging 1.89 per cent interest. It is available at up to 70 per cent LTV (Loan to Value), has no Early repayment charges (ERC) and the overall cost for comparison is 5.0 per cent APR.

The interest rate cuts cover four two-year discount mortgages:

·      At up to 95 per cent LTV the charging rate has been reduced to 4.45 per cent. The overall cost for comparison is 5.6 per cent APR

·      At up to 90 per cent LTV the interest rate is now 3.45 per cent. The overall cost for comparison is 5.3 per cent APR

·      At up to 85 per cent LTV the rate has been cut to 2.45 per cent. The overall cost for comparison is 5.1 per cent APR

·      The Buy to Let mortgage at up to 75 per cent LTV is down to 3.35 per cent. The overall cost for comparison is 5.3 per cent APR

The Buy to Let mortgage has also seen its completion fee cut from £1,250 to £999. The application fee remains unchanged at £250.

The fees for the other three existing mortgages remain at £295 on application and £695 on completion, the same as the new 70 per cent LTV mortgage. All the residential discount mortgages have a free valuation up to £1 million.

At the end of the two-year discount period the mortgages revert to the Society’s Standard Variable Rate, currently 5.64 per cent.

Because Hinckley & Rugby does not use automated underwriting, all lending decisions are taken by the Society’s staff. Credit scoring systems are not used – applicants with little or no credit history will not automatically be rejected.

Brokers – including directly authorised and appointed representatives – can easily access the Society’s underwriting decision makers to discuss individual circumstances.

Hinckley & Rugby chief executive Chris White said: “We’re providing even greater value with these mortgages, backed by our commitment to outstanding customer service.”

Details of all the Society’s mortgages are at www.hrbs.co.uk