Norwich Union has launched its latest mortgage offer for IFAs giving them access to a discounted rate of 1.79% off the standard variable rate of 7.09% (APR 7.3%), for a full two years.
Norwich Union has launched its latest mortgage offer for IFAs giving them access to a discounted rate of 1.79% off the standard variable rate of 7.09% (APR 7.3%), for a full two years.
The mortgage allows IFAs to select the right benefit for clients who are looking for:
- No tie-in fees at any time, even during the discount period
- No application fee
- Free legal fees OR a Ł250 cashback on remortgages
- Ł250 cashback if purchasing
Jon Round, Norwich Union's head of mortgage development, commented "This mortgage offer marks the return of one of our most successful products over the past year. The absence of any redemption penalty or application fee plus, the generous discount for two years, has made this product extremely popular with IFAs."
Buildings & Contents insurance is compulsory for two years or the discount is reduced by 0.24%. A procuration fee of 0.3% of the loan with a minimum of Ł150 is payable to IFAs on completion.
Further information on this product or any other mortgage products available from Norwich Union can be obtained by calling 0845 845 1388.
- Ends -
The offer in detail:
- 1.79% discount for two years, initial rate 5.30% (APR 7.3%)
- No redemption lock-in at any time
- No application fee
- Buildings & Contents compulsory for 2 years or a 0.24% loading
- No higher lending fee to 90% loan to value (LTV)
- Free legal fees or Ł250 cashback for remortgages
- Ł250 cashback for house purchase
- Procuration fee 0.30%, minimum Ł150
- This product is offered in conjunction with Leeds & Holbeck Building Society
Typical example:
The APR of 7.3% is calculated on the basis of a Ł52,250 interest only mortgage on a property valued at Ł55,000 repaid over 25 years. 24 monthly payments of Ł230.77 assuming a rate of 5.3%, followed by 276 monthly payments of Ł308.71 assuming the rate reverts to the current Standard Variable Rate of 7.09%. Total amount payable Ł145,022.44 calculated to include Ł92,772.44 total interest payable, Ł164.50 legal fees, Ł984.50 Higher Lending Fee, Ł60 administration fee, Ł50 deeds release fee and Ł298 per year typical Homecover cost for 2 years (including insurance premium tax). This assumes a completion date of 1 June 2001.
The property upon which the loan is required to be secured must be insured for the cost of replacement value.
This example does not constitute a quotation or contract.
Full written details, including a quotation are available on request. All loans are subject to status and satisfactory valuation. Loans are not available for persons under 18 years of age.
Norwich Union subscribes to the mortgage code - copies are available on request.
YOUR HOME IS AT RISK IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR OTHER LOAN SECURED ON IT.
Notes to editors
1. IFAs can benefit from the buying power of one of the largest mortgage intermediaries in the UK, through enhanced mortgage products, enhanced procuration fees - with dedicated service and support.
2. The APR rates stated are variable.
- CGU plc and Norwich Union plc merged on 30 May 2000 to create CGNU plc, the UK's largest insurance group and one of the top-five insurers in Europe with substantial positions in other markets around the world, making it the world's sixth largest insurer based on gross worldwide premiums.
- CGNU's principal business activities are long-term savings, fund management and general insurance, with worldwide premium income and retail investment sales from ongoing business of over Ł27 billion and assets under management of more than Ł210 billion.
- From October 2000, the combined life and pensions, general insurance and retail fund management businesses in the UK operate under the Norwich Union brand, while the institutional investment business operates under the Morley Fund Management brand.
- Norwich Union's news releases are available on the internet at www.cgnu-group.com.
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