Nationwide Building Society has announced that it is cutting the price of its two, three and five year fixed rate deals by up to 0.25%, these new rates are available for those looking to remortgage, switch product or take a further advance.

The new rates will be available from 8 August 2008.

Existing Nationwide borrowers will also benefit as the Society is, for a limited period only, waiving the £599 reservation fee for existing borrowers switching to the fixed and tracker products which currently have this fee.

Martyn Dyson, head of mortgages at Nationwide, said: “As a building society we always aim to offer our members the best possible deals. Once again we are in a position to reduce rates on a number of deals available to customers wishing to remortgage, switch their current mortgage deal or take a further advance. As part of our commitment to rewarding customer loyalty we are also now waiving the £599 fee for existing borrowers wishing to switch deal.

“Customers can have confidence taking a mortgage with Nationwide whether they are buying, re-mortgaging or coming to the end of their existing deals.”

Full details of Nationwide’s product range are shown below. The changes outlined above will take effect from 8 August 2008.

In addition, the chance to be “mortgage payment free” for a year (up to a maximum of £10,000) remains available - all customers who have a mortgage interview in a branch or on the phone between 28 July and 30 September will be entered into a free prize draw and 10 lucky winners will have their mortgage payments made by Nationwide for a whole year.

ALL RATES FOR FIXED RATE PRODUCTS

HOUSE PURCHASE (no change)

New Nationwide mortgage borrowers maximum LTV of 90% (except borrowers taking 3 year fixed rate where the maximum LTV is 95%).

Existing Nationwide mortgage borrowers maximum LTV of 95%.

Automatic transfer to variable Base Mortgage Rate (BMR), currently 6.49% at end of fixed rate period.

Product		Rate (available from 18 July 08)
Two year fixed rate £599 fee	75% LTV	6.18%
	90% LTV	6.58%
	95% LTV	6.88%
Two year fixed rate No fee	75% LTV	6.58%
	90% LTV	6.98%
	95% LTV	7.28%
Three year fixed rate* £599 fee Fee for first time buyers £299	75% LTV	6.23%
	90% LTV	6.63%
	95% LTV	6.93%
Five year fixed rate £599 fee	75% LTV	6.18%
	90% LTV	6.58%
	95% LTV	6.88%
10 year fixed rate £599 fee	75% LTV	6.39%
	90% LTV	6.79%
	95% LTV	7.09%
25 year fixed rate £599 fee	75% LTV	6.53%
	90% LTV	6.93%
	95% LTV	7.23%

*Three year fixed rate mortgage only available to borrowers dealing directly with Nationwide.

REMORTGAGORS/ SWITCHERS/ FURTHER ADVANCES (changes shown below)

New Nationwide mortgage borrowers maximum LTV of 90%.

Existing Nationwide mortgage borrowers maximum LTV of 95%.

Product		New rate (available from 8 August 08)	Previous rate (available until 11.59pm 7 August 08)
Two year fixed rate £599 fee - remortgage and further advance No fee – switchers	75% LTV	5.98%	6.18%
	90% LTV	6.38%	6.58%
	95% LTV	6.68%	6.88%
Two year fixed rate No fee	75% LTV	6.38%	6.58%
	90% LTV	6.78%	6.98%
	95% LTV	7.08%	7.28%
Three year fixed rate* £599 fee - remortgage and further advance No fee – switchers	75% LTV	5.98%	6.23%
	90% LTV	6.38%	6.63%
	95% LTV	6.68%	6.93%
Five year fixed rate £599 fee - remortgage and further advance No fee – switchers	75% LTV	5.98%	6.18%
	90% LTV	6.38%	6.58%
	95% LTV	6.68%	6.88%
10 year fixed rate £599 fee - remortgage and further advance No fee – switchers	75% LTV	No change	6.39%
	90% LTV	No change	6.79%
	95% LTV	No change	7.09%
25 year fixed rate £599 fee - remortgage and further advance No fee – switchers	75% LTV	No change	6.53%
	90% LTV	No change	6.93%
	95% LTV	No change	7.23%

*Three year fixed rate mortgage only available to borrowers dealing directly with Nationwide.

Early repayment charges for fixed rate mortgages

Throughout the deal period, a maximum percentage of the outstanding loan is payable as detailed below. Fixed rates allow overpayments of up to £500 per month without the need to pay a repayment fee.

2 year fixed rate mortgage: 1.5%

3 year fixed rate mortgage: 2.0%

5 year fixed rate mortgage: 3.0%

10 year fixed rate mortgage: 3.0%

25 year fixed rate mortgage : 3.0% during first 10 years only – then no charges.

ALL RATES FOR TRACKER PRODUCTS

HOUSE PURCHASE (no change)

New Nationwide mortgage borrowers maximum LTV of 90% (except borrowers taking 3 year tracker rates, where the maximum LTV is 95%)

Existing Nationwide mortgage borrowers maximum LTV of 95%.

Automatic transfer to variable Base Mortgage Rate (BMR), currently 6.49% at end of tracker period.

Product		Rate (available from 18 July)	Rate - Difference to Bank of England base rate
Two year tracker £599 fee	75% LTV	5.98%	+0.98%
	90% LTV	6.38%	+1.38%
	95% LTV	6.68%	+1.68%
Two year tracker £1,499 fee	75% LTV	5.68%	+0.68%
	90% LTV	6.08%	+1.08%
Three year tracker* £599 fee £299 - fee for first time buyers	75% LTV	5.74%	+0.74%
	90% LTV	6.14%	+1.14%
	95% LTV	6.44%	+1.44%
Lifetime tracker £599 fee	75% LTV	5.98%	+0.98%
	90% LTV	6.38%	+1.38%

*Three year tracker mortgage only available to borrowers dealing directly with Nationwide.

REMORTGAGORS/ SWITCHERS/ FURTHER ADVANCES (New and existing Nationwide mortgage borrowers) (fee changes shown below)

New Nationwide mortgage borrowers maximum LTV of 90%.

Existing Nationwide mortgage borrowers maximum LTV of 95%.

Product		Rate (available from 18 July)	Rate - Difference to Bank of England base rate
Two year tracker £599 fee - remortgage and further advance No fee – switchers	75% LTV	5.98%	+0.98%
	90% LTV	6.38%	+1.38%
	95% LTV	6.68%	+1.68%
Two year tracker £1,499 fee	75% LTV	5.68%	+0.68%
	90% LTV	6.08%	+1.08%
Three year tracker* £599 fee – remortgage and further advance No fee – switchers	75% LTV	5.74%	+0.74%
	90% LTV	6.14%	+1.14%
	95% LTV	6.44%	+1.44%
Lifetime tracker £599 fee - remortgage and further advance No fee – switchers	75% LTV	5.98%	+0.98%
	90% LTV	6.38%	+1.38%

*Three year tracker mortgage only available to borrowers dealing directly with Nationwide

Early repayment charges for tracker mortgages

Throughout the deal period a maximum percentage of the outstanding loan is payable as detailed below. Tracker rates allow overpayments of up to £500 per month without the need to pay a repayment fee.

2 year tracker:1.5%

3 year tracker: 1.5%

Lifetime tracker: 3.0% (first five years of deal only)