Virgin Money has confirmed that it will be cutting rates across its range of product transfer loans, with this coming into effect immediately.
The most sizeable rate cut comes with its ‘fee saver’ fixed-rate, two-year loan that has a loan-to-value (LTV) of 65%. The interest rate for this loan has been reduced by no less than 26 basis points, which means that it now stands at just 4.60%. That will make this loan a more attractive proposition to mortgage advisors and their clients, but it is not the only Virgin Money product to have its rates cut.
The fixed-rate two-year loan with LTV of 65% and a fee of £995 has seen a 16-basis point lowering of its interest rate, leaving it at 4.37%. The fixed-rate five-year mortgage with LTV of 65% and £995 fee now comes with a starting rate of 3.99%. That is also a reduction of 16 basis points.
There have been basis point reductions of as much as 21 across the fixed-rate five, three and two-year mortgages offered by Virgin Money. Speaking to Mortgage Strategy, its intermediary sales head Richard Walker stated that the lender wishes to make affordable rates available to its existing customers. He then added:
“With five-year fixed rates starting from 3.99%, these changes to our existing customer range improve the options available for those looking for a new rate on their existing loan.”
Advisors with CeMAP training and their clients are increasingly looking to product transfers in the current climate, so this will be welcome news.
