In a bid to assist first-time home buyers to save for a deposit, UK banking group Britannia Building Society has launched its HomeSaver account.
The innovative service is designed to help those saving for a Britannia mortgage.
As of December 2, 2006, HomeSaver will pay a rate of 6.55% AER on balances over GBP250. In addition, those who sign up to the account and make a mortgage application before December 31, 2007 will receive a mortgage deal including GBP250 cash-back and a free first standard valuation. Customers must have held the account for six months to qualify for these offers.
Tim Franklin, Britannia’s managing director of member business, explained, First-time buyers who are already in a regular savings habit will find it easier when they have the commitment of paying mortgage subscriptions each month. The HomeSaver account not only pays a great interest rate for savers, but also offers great incentives for borrowers.
The service is also available to movers and those looking to re-mortgage to Britannia.