Mortgage discounts

WOOLWICH Building Society has a new range of mortgage discounts on variable loans for borrowers with at least a 20 per cent deposit.

Existing borrowers and first- time buyers get a discount of 4.75 percentage points, bringing the rate to 3 per cent for the first year. New borrowers pay 3.25 per cent.

Barclays Bank is offering 3.5 percentage points off the standard variable rate of 7.74 per cent to those who want to select their own insurance cover. But borrowers taking Barclays buildings or contents cover will qualify for an extra discount of 0.25 percentage points, bringing the rate to 3.99 per cent.

Mortgages taken out before the end of the year will qualify for a free valuation up to pounds 250 and pounds 250 cashback on completion. First-time buyers need a minimum deposit of 5 per cent and other borrowers need 10 per cent.

----------------------------------------------------------------- SIX OF THE BEST ----------------------------------------------------------------- Savings ----------------------------------------------------------------- Type Account Term *0% *25% *40% Min (Pounds) GIB Eurolife 5 years 7.60 7.60 6.46 10,000 B Soc Nottingham Instant 6.60 4.95 3.96 25,000 Tessa Market Harborough 5 years 7.60 7.60 7.60 9,000 ----------------------------------------------------------------- *Compounded annual rate except for GIB (guaranteed income bond) ----------------------------------------------------------------- Source: Chase De Vere 071-404 5766 ----------------------------------------------------------------- Mortgages ----------------------------------------------------------------- Type Source Deal Variable Northern Rock* 2.49% discounted rate on 90% loans Fixed National & Provincial 8.35% 1.8.99 on 90% loans fee pounds 250 Capped Royal Bank of Scotland 8.99% for 5 yrs on 95% loans ----------------------------------------------------------------- *completion fee pounds 225 Source: John Charcol 071-611 7000 -----------------------------------------------------------------