With effect from Friday 11 June 2010, Nationwide will launch a new straightforward mortgage product range designed to be easy to understand, providing clarity for borrowers in an often complex market.

As part of this range, the Society will also launch a number of special offers available exclusively to customers who use its FlexAccount as their main current account. There will also be a cashback offer of £300 for existing mortgage customers who take another mortgage with the Society when either moving home or switching at the end of their deal.

The core mortgage product range available from Nationwide will include the following:

* 2, 3 and 5 year fixed rates and 2 and 3 year tracker rate mortgages
* 2 year products come with a choice of £896 or £0 product fees – all other products have a standard fee of £896
* £500 product fee discount remains available for first time buyers on 3 and 5 year fixed rates and 3 year tracker products

The new range results in some significant reductions and competitive rates, for example:

For home movers:

* 2 year fixed rate available at 5.18% (80-85% LTV)
o £99 booking fee (payable upfront and non-refundable)
o £896 product fee
* 3 year fixed rate available at 5.18% (75-80% LTV)
o £99 booking fee (payable upfront and non-refundable)
o £896 product fee
* 2 year tracker rate available at 3.88% (75-80% LTV)
o £99 booking fee (payable upfront and non-refundable)
o £896 product fee

For remortgage customers:

* 2 year fixed rate available at 5.18% (75-80% LTV)
o £99 booking fee (payable upfront and non-refundable)
o £0 product fee
* 2 year fixed rate available at 4.78% (75-80% LTV)
o £99 booking fee (payable upfront and non-refundable)
o £896 product fee
* 2 year tracker rate available at 4.08% (75-80% LTV)
o £99 booking fee (payable upfront and non-refundable)
o £896 product fee

The following special offers will be available to Nationwide FlexAccount customers* who are buying a home:

* The Protector mortgage – 2 year fixed rate product available between 85% and 90% LTV with free mortgage payment protection insurance (MPPI) for the duration of the two year deal period – 5.98%, £396 product fee and £99 booking fee (payable upfront and non-refundable)
* 90% LTV limit – 2 year tracker and fixed rate deals up to 90% LTV remain available – a limit of 85% applies to other new mortgage customers. 2 year tracker deal available at 4.63%, £896 product fee and £99 booking fee (payable upfront and non-refundable)
* Free standard valuation and standard legal fees – available on the core 3 year fixed (available from 3.98% up to 70% LTV) and 3 year tracker products (available from 2.98% up to 70% LTV). Both have an £896 product fee and £99 booking fee (payable upfront and non-refundable)
* The Flexible mortgage:
o 5 year tracker rate, available from 3.39% up to 70% LTV, with free standard valuation, no standard legal fees, no product fee, unlimited overpayments and no early repayment charges (this offer is also available to those looking to move their mortgage to Nationwide).

The following offer is available exclusively to existing Nationwide mortgage customers:

* £300 cashback for existing mortgage customers who take another Nationwide mortgage when either moving home or switching at the end of their deal.

Nationwide director of mortgages, Andy McQueen said: “We are launching a new, straightforward and easy to understand mortgage product range, backed up by the same great service. This will have two key elements, a core range designed to meet most people’s needs and a range of special offers designed to reward and develop deeper relationships with our members.

“New and existing borrowers who use their Nationwide FlexAccount as their main current account can choose from a number of exclusive loyalty options, including reduced fee offers, free MPPI and lending up to 90% LTV. We’re also going to give £300 cashback to reward existing borrowers who take another mortgage product with us, no matter whether they are moving home or switching at the end of their deal.

“This launch is designed to reward the key relationships our members have with us and to deliver long-term value.”