Ulster Bank reduces three-year fixed interest rate on mortgages to 2.99%

Ulster Bank reduces three-year fixed interest rate on mortgages to 2.99%

Ulster Bank has reduced its three-year fixed interest rate on mortgages to 2.99% from 3.2%.

The offer applies to mortgages with a loan-to-value ratio of up to 80%.

The lender has also lowered its variable rate by 0.1% to 3.1%.

Customers wishing to avail of the rates must have a salary mandated Ulster Bank current account and be borrowing at least €200,000.

The loan value cannot exceed €350,000. When the loan goes above that amount, the rates increase to 3.2% and 3.5% respectively.

Ulster Bank says its 2.99% fixed rate is the lowest in the Irish market.

Furthermore, mortgage customers can now use pioneering technology from TokBox to allow them video conference with Ulster Bank on their phone, tablet or computer in a secure environment.

It means customers can get help on the various stages of their mortgage from saving for a deposit to opening an account and filling out paperwork via video chat, at a time and place convenient for them.

Ulster Bank’s Director of Customer Experience and Products, Maeve McMahon says, “The three year fixed rate of 2.99%, the lowest on the market, and the reduced Loyalty variable rate of 3.10% are both available to new and existing customers.”

She added, “I know that buying a new home is an exciting but busy time so we’ve developed new secure video Tokbox technology to make it easier for customers to meet a Mobile Mortgage Manager at a time and place that suits the customer.”

The lender’s rate reduction follows similar moves by competitors in the Irish market as competition in the mortgage market intensifies.

Last month Pepper Homeloans lowered its variable rates by up to 0.45% to as low as 3.1%, while in May AIB has announced it was to cut its standard variable rate by 0.25% to 3.4%.

KBC Bank Ireland also lowered its fixed and variable rate products in May, and this year all of Bank of Ireland, ESB, and Permanent TSB have introduced 2% cash back offers on mortgages to attract borrowers.

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