First Direct provide the most flexible fixed rate offset mortgage

First Direct are offering the most flexible fixed rate offset mortgage, according to MoneyFacts.

First Direct are the only lender in the UK offering a fixed rate offset mortgage that allows customers to make unlimited overpayments and then withdraw them all again if required.

Customers can overpay their mortgage, building up a fund in their account.  This acts in a similar way to a savings account in that money can be withdrawn later, if required, up to the original mortgage limit.

Borrowers also benefit from the fixed rate as well as having the flexibility of over paying or using the money in the account as circumstances dictate.

As Jimmy Kelly, Head of mortgages at first direct points out: “The benefit of choosing first direct’s market leading offset is that customers no longer have to decide between the security of fixing a great rate and flexibility.”

“They can have both.  A best buy fixed rate secured when the market is low and the flexibility to overpay and reduce the term of their loan at no further cost.  Add to this the savings benefits of offset mortgages and it’s hard to find a reason not to switch. It’s win-win.”

First Direct offer a number of fixed rate offset mortgages ranging from a two year fixed rate at 3.49% to a three year fixed rate of 4.89%.

Potential customers should be aware that these mortgages require either a 40% or 25% deposit and booking and arrangement fees may apply, depending on the product.