New Post Office mortgages avoid "nasty surprises"

Date:Tuesday 20th October 2009
Author: Max Freedman

The Post Office has informed customers of its new range of mortgages that they will not find their fixed rate of interest jump up when the initial term ends.

Az Alibhai, head of lending at the organisation, made his comments following the launch of an extension to the Post Office's mortgage range, which will now include two, three and five-year fixed-rate mortgage deals.

He championed how low the £599 arrangement fee is on the company's products and pointed out that customers will now be able to discuss products in more than 250 Post Office branches in the UK.

Mr Alibhai also claimed that the financial services provider is offering the most competitive revert rate.

"Customers on fixed rate deals won't be in for any nasty surprises once their initial rate period ends and can expect good long term value," he said.

This week, the Financial Services Authority announced that new regulations will be put in place to ensure that the mortgage market remains sustainable for lenders and borrowers.