Lender makes pledge on mortgages
Lloyds TSB has said that both it and subsidiary Cheltenham &
Gloucester (C&G) will pass on any base rate cut that is made by
the Bank of England tomorrow.
The lender stated this would apply not only to standard variable
rate deals, but also to trackers, as it did not have any lower
limit on the interest that is charged on these.
In addition to this, products for new borrowers will be reviewed in
the light of any reduction, with the existing range being withdrawn
tonight in anticipation of a possible change.
C&G marketing director Stephen Noakes commented: "If we can
make a saving on funding new mortgage products, we will look to
pass this on."
A number of appeals have been made for a further base rate
reduction this month to follow the 1.5 per cent cut in November and
the 0.5 per cent trimming made in October.
The Association of Mortgage Intermediaries called today for a one
per cent cut.