Woolwich fee-free lifetime tracker launched

Woolwich has launched what it believes is its best ever fee-free lifetime tracker mortgage.

It comes with no application fees and is set at just 0.17% above the current base rate; giving a current payment rate of 5.92%.

Woolwich has also introduced its new "fix and track mortgage" that will allow customers to benefit from one year at an interest rate of 5.39% before switching to follow the Bank of England's rate.

"Interest rates are getting near the top of their cycle and tracker mortgages are proving more popular than ever as they tend to have a lower starting rate than other products," said Andy Gray, head of mortgages for Woolwich.

The Woolwich has also launched a new lifetime tracker mortgage that has a discounted rate of 0.16% below the base rate for the first 2 years.

The Woolwich is part of the Barclays group and hopes its new mortgages will compete strongly against mortgages from Northern Rock, Abbey and Mortgage Express.