With effect from 8 February 2013, Nationwide Building Society is launching a further borrowing product exclusively available to customers wanting to improve the energy efficiency of their existing home - Green Additional Borrowing.
Existing Nationwide mortgage customers wanting to fund non-structural, energy efficient home improvements from a list of acceptable measures will benefit from a great 0.50% rate reduction on the Society’s existing range of two-year fixed and tracker further advance rates. This will mean that rates, including the discount, will be available from 2.29%.
Customers can borrow between £5,000 and £20,000 up to a maximum LTV of 85%. No product fee is payable, but all reservations are subject to a £99 booking fee.
By opting for Green Additional Borrowing customers have an open market choice of suppliers giving them the opportunity to select a national brand or a local firm, whichever they prefer.
Homeowners looking for ways to improve efficiency may wish to consult our Green Home Guide. http://www.nationwideeducation.co.uk/sustainability-education/green-guides-suite/green-guide/index.php
Tracie Pearce, head of group mortgages at Nationwide, said: “Energy bills continue to rise and many customers are looking to make energy efficient home improvements to try to reduce their bills in the longer term.
“Green Additional Borrowing allows existing Nationwide mortgage customers, who are looking to make their home more energy efficient, the chance to borrow at a competitive rate of interest, with rates 0.50% lower than our standard further advance rates.
“We see this product as complementary to the Green Deal, which we have welcomed.
“Green Additional Borrowing offers an alternative way of funding larger home improvements and can be used if the customer’s preferred approach does not meet all the Green Deal requirements.”
Notes to editors:
Green Additional Borrowing can be used to fund:
- Air source heat pumps
- Cavity wall insulation
- Double glazing
- Draught proofing
- Floor insulation
- Ground source heat pumps
- Heating controls
- Loft insulation
- Rated boiler installation
- Small scale hydro
- Small scale wind turbine
- Solar PV
- Solar water heating
- Solid wall insulation
- Tanks and pipe insulation
Key features of the fixed and tracker mortgage product range for new applications
- Overpayments (no minimum; maximum of £500 per month on fixed and tracker mortgage deals).
- Apply for a Further Advance, the additional borrowing facility.
- Standard Mortgage Rate
- Mortgage products reserved on or after 30 April 2009 revert to the Standard Mortgage Rate (SMR).
- The SMR is a variable rate which may vary in accordance with Nationwide’s mortgage terms and conditions.
- All mortgages reserved on or before 3 March 2010 include the option to apply for a payment holiday and borrow-back facility. Any mortgages reserved after this date will no longer include these facilities.
- If the borrower is currently letting their property they will be unable to switch to a new mortgage deal and their mortgage will automatically revert to the Nationwide variable rate as stated in their mortgage offer.
- Early repayment charges for fixed rate and tracker mortgages
Throughout the deal period, a percentage of the outstanding loan is payable as detailed below. Overpayments of up to £500 per month are permitted without the need to pay an early repayment charge.
- Two-year fixed rate mortgage: 3%
- Two-year tracker rate mortgage: 2.5%
- A £99 non-refundable booking fee may apply.
- Applications are required for all products. Further details of terms and conditions are available on request.
- Mortgages are subject to underwriting criteria.
About Nationwide Building Society
Nationwide is the world's largest building society as well as the second largest savings provider and a top-three provider of mortgages in the UK. It is also a major provider of current accounts, credit cards, ISAs and personal loans. Nationwide has around 15 million customers.
Customers can manage their finances in branch, on the telephone, internet and post. The Society has around 15,000 employees. Nationwide's head office is in Swindon with administration centres based in Northampton, Bournemouth and Dunfermline. The Society also has a number of call centres across the UK.