Alliance & Leicester mortgage rates cut

Date:Thursday 6th November 2008

Alliance & Leicester mortgage rates for fixed-rate mortgages have been reduced.

The new deals are available from today via Alliance & Leicester branches, mortgage brokers and by telephone from Mortgage Direct.

Two-year, fixed-rate mortgages which previously had rates of 5.79 per cent have now been cut to 5.59 per cent, fixed until December 31st 2010 before the standard variable rate (presently 6.94 per cent) applies.

In addition, the five-year FeeSaver fixed-rate offer, previously 6.59 per cent, now stands at 6.39 per cent, fixed until December 31st 2013.

The three-year fixed-rate mortgage deal, previously 5.94 per cent, is now fixed at 5.79 per cent until December 31st 2011.

According to the National Landlords Association, landlords are still not benefiting from reductions to the interest rate.

Spokesperson Simon Gordon urged lenders to "play ball" and pass the rate cuts on to buy-to-let borrowers.

"It's critical for the health of the property market for landlords to have access to mortgage finance," he said.