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NatWest joins the rate cutting stampede with 3.89% mortgage deal [Video]

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Nova Scotia News

The price war in the fixed rate mortgage market gathered pace today with NatWest reducing its headline five year deal to 3.89%.

The high street lender is the latest to go “sub-4” in a rush of eye-catching cuts by leading banks and building societies.

The move by NatWest follows similar reductions by rivals such as Santander, Halifax and HSBC over recent days.

NatWest said the rate on its five year offer for borrowers with a minimum 40% deposit would be lowered by 14 basis points from 4.03% to 3.89%, with a fee £1,495.

The rates on most of the rest of its range are being lowered by 14 or 20 basis points.

The outbreak of rate cutting comes after swap rates in the City’s wholesale money markets dropped in anticipation of further moves to ease the cost of borrowing from the Bank of England. The Bank delivered its first cut in four years earlier …

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