"We also understand our existing customers’ circumstances can change at any time and so none of our products have closure fees"
Two-year fixed rates now start from 1.39% at 60% LTV and 1.49% up to 75% LTV, both with a £490 fee.
Five-year fixed rates are available from 1.64% at 60% LTV with a £490 fee or 1.84% fee-free. 75% LTV rates have been reduced to 1.69% with a £490 fee and 1.94% with no fee. A five-year fix at 80% LTV has also been reduced by 0.15% to 1.89% with a £490 fee.
Additionally, First Direct has removed closure fees from its entire product range.
Anna MacFarlane, commercial director at First Direct, said: “We’re seeing increased demand among homebuyers looking for lower LTV fixed rates. In response we’ve reduced our already competitive rates at lower LTVs even further.
“We also understand our existing customers’ circumstances can change at any time and so none of our products have closure fees, giving people more flexibility when looking at their mortgage needs.”