Abbey cuts fixed rate deals

Abbey has announced that it will make further rate cuts on its two-year and three-year mortgages next week.

It is believed that Abbey's two-year and three-year fixed rate deals will be cut by up to 0.15 per cent - with a new three year deal also expected to be launched.

This means that the Santander owned bank's two year fixed rate now starts at 6.24 per cent, while three-year-fixed rates will be available from 6.29 per cent.

The lender also confirmed that its five-year flexible and tracker deals will be staying at the same rate.

Director of mortgages at Abbey, Phil Cliff, has said that they are "committed to offering competitive deals"; and that their strength in the mortgage market is the "reason behind these rate cuts".

Abbey, formerly Abbey National, is one of the largest banks in the UK and was acquired by Santander - Spain's largest bank - for £9.5 billion in October 2004.

Mortgages News posted on 11/07/2008 15:11:16