Post Office mortgage rates cut for 4th time this year

Date:Wednesday 7th April 2010
Author: Susanna Kavka

The cuts, which become available today (April 7th), are expected to give the company's range a best buy title with two and five-year fixed-rate deals offering 60 per cent, 75 per cent and 80 per cent loan-to-value ratios (LTV).

Marco Hughes, director of personal lending for the company, said the reductions prove the Post Office is determined to provide long-term value for its customers.

He added: "When combined with our low revert rate these reductions further prove our commitment to providing genuine value, not just for the initial period, but throughout the life of the mortgage."

The mortgages range from a two-year fixed-rate at 3.15 per cent with a 75 per cent LTV to a five-year equivalent at 4.84 per cent with an 80 per cent LTV.

Business secretary Lord Mandelson recently announced that he wanted to use the Post Office to create a resurgence of local banking in communities across the country, offering it funding of £180 million.