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NOT FOR PUBLICATION BEFORE 00.01HRS WEDNESDAY 31ST MAY 2000
HALIFAX SLASHES SECURED LOAN RATE
Following on from the recent announcement of new, simplified rates for Halifax Personal Loans, Halifax is replacing its Secured Personal Loan with the launch of Halifax HomeOwner Loan. The key elements of the new Halifax HomeOwner Loan are as follows: Interest is charged at Halifax’s standard variable mortgage rate - currently 7.74%. Existing Halifax mortgage customers can borrow amounts from £3,000 to £25,000. Borrowers can apply for a loan for any purpose up to a maximum of 90% of the value of their home. There are no arrangement fees or early redemption penalties.
The following table compares Halifax HomeOwner Loan with a range of secured personal loans offered by other lenders: Lender Halifax Abbey National Direct Line Nationwide Woolwich Bank of Scotland Rate 7.74% 7.74% 8.18% 8.50% 7.75% 7.60% Max Loan to Value 90% 85% 90% 95% 75% 95% Fees None £95 None None £100 1% of loan
Source: Moneyfacts - May 2000
PRESS RELEASE
For further information contact Alison Roberts - Head of Group Press Office, Halifax Group plc, Registered Office: Trinity Road, Halifax, West Yorkshire, HX1 2RG. Registered in England No. 2367076. Tel: 01422 333333. Fax: 01422 333007. (Out of Hours Tel: 01706 839544/01422 201306.) Internet Website: http://www.halifaxplc.com Email: pressoffice@halifax.co.uk ISDN facilities are available for broadcast media interviews.
2 of 2 Halifax offers a comprehensive range of loans to suit borrowers’ needs and circumstances. And now all of the Halifax’s secured lending products, which allow borrowers to make the most out of the equity in their property, are priced at the Halifax’s standard variable mortgage rate - currently 7.74%. These products are as follows: Halifax HomeOwner Loan allows customers to borrow amounts between £3,000 and £25,000 for any purpose, with a choice of repayment term between 3 and 25 years. The monthly repayments are separate from the mortgage payments. Halifax Home Improvement Loan allows customers to borrow additional funds for home improvements for any amount up to 97% loan to value. The loan is added to the existing mortgage and customers can choose to pay off the loan over the life of the mortgage or choose a shorter repayment term. Halifax Home Cash Reserve allows existing borrowers with equity of £25,005 and above with a loan to value not exceeding 90% to arrange a drawdown facility. Customers may then draw on this amount any time - the minimum draw down is £1,000.
Commenting on Halifax HomeOwner Loan, David Fisher, General Manager, Banking & Consumer Credit, said: “Many of our mortgage customers have significant equity in their properties. The launch of Halifax HomeOwner Loan, along with our other secured products, means they should never have to borrow from anywhere else. Customers can save money by using this equity for whatever reason they want and they can be assured that by staying with us they won’t have to pay valuation, or arrangement redemption fees.” Ends EDITORS’ NOTES: In April Halifax announced changes to its Unsecured Personal Loans. Halifax offers customers discounts of up to 4.5% based on existing relationships with the Halifax, giving rates as low as 8.4% APR. There are no early redemption penalties on Halifax Unsecured Personal Loans. The rates for Halifax Secured Personal Loans were previously between 9.9% APR and 12.9% APR.
PRESS RELEASE
For further information contact Alison Roberts - Head of Group Press Office, Halifax Group plc, Registered Office: Trinity Road, Halifax, West Yorkshire, HX1 2RG. Registered in England No. 2367076. Tel: 01422 333333. Fax: 01422 333007. (Out of Hours Tel: 01706 839544/01422 201306.) Internet Website: http://www.halifaxplc.com Email: pressoffice@halifax.co.uk ISDN Facilities are available for broadcast media interviews.