Santander paying £250 into customers' bank accounts

Two-year fixed deals from Santander are particularly competitive. <i>(Image: Santander)</i>
Two-year fixed deals from Santander are particularly competitive. (Image: Santander)
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Santander has introduced a £250 cashback incentive on residential mortgages at 85% LTV (loan-to-value) and above.

The bank has made cuts on selected fixed homeowner purchase and remortgage ranges, knocking up to 0.23 percentage points off their rates.

The offer comes alongside a £250 cashback on residential mortgages for loans at 85% LTV (loan-to-value) or higher.

Additional deductions have been made by Santander on some buy-to-let range deals, decreasing by up to 0.16 percentage points.

New rates include a five-year fixed remortgage deal pitched at a rate of 4.30% with a £999 fee for borrowers with a 25% deposit, reflecting a reduction of 0.23 percentage points, the bank has said.

As reported by BirminghamLive, Graham Sellar, Santander's Head of Intermediary Channels, said: "We're pleased to deliver this bumper range of rate cuts across more than 70 products, alongside adding cashback for those looking at higher LTVs."

Finance expert Rachel Springall, from Moneyfactscompare.co.uk, said: "It's good to see a prominent lender making the decision to cut fixed mortgages and the two-year fixed deals from Santander are particularly competitive.


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"Those borrowers who need a mortgage at a higher loan-to-value may be pleased to see a cashback incentive launched, however any deal should be weighed up by its overall cost.

"Santander's two-year fixed mortgage at 85% loan-to-value has an impressive cost-saving package of a free valuation and £250 cashback. The deal does charge a fee of £999, but the fixed rate is a competitive 4.69%."

The statement from Ms Springall, ahead of Christmas, added: "It will be good to see if more prominent lenders decide to cut their fixed-rate mortgages in the weeks ahead in response."

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