HSBC looks to take away the anxiety of mortgage seekers

Posted under General by Jermaine

In an effort to attract mortgage customers whose fixed rate deals with other lenders are about to expire, HSBC has started matching their expiring fixed-rate mortgage deals for a further two years. However, the offer will be open for only five weeks. Also, new customers will need to put down a minimum 20 per cent deposit.

HSBC relies less on the financial markets for raising the funds for its mortgages than other lenders. The bank is keen on taking advantage of the weakness of its main competitors in the mortgage market. The bank’s head of mortgages, Martijn Van Der Heijden, explained: “”Many homeowners are worried about their monthly repayments going up and we can help take away that anxiety.” The bank is expecting heavy demand for its latest offer and will utilise three times the usual number of staff for handling applications.

A bank spokesman asserted that it would be fussy about whose business it took on, and clarified that it was not looking to hoover up countless mortgage holders who may have taken a mortgage just recently with only with a small deposit. The minimum mortgage rate will be 4.54 per cent under its deal.

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