UK banking behemoth HSBC, in partnership with Spanish bank Solbank, has begun offering customers looking to purchase property in Spain preferential terms on Spanish mortgages and banking services.

The new mortgages have a variable interest rate at 1% above Euro interbank offered rate (Euribor) for the life of the loan, which is normally 1.25% above Euribor. The mortgage arrangement fee goes up to a maximum of 1%.

The new banking services offer property buyers a free credit and debit card, which is normally worth E43 a year, and free inward international cash transfers and outwards of up to E50,000.

The new service is aimed specifically at UK nationals who want to buy property in Spain, the Balearics and the Canary Islands, either as a holiday home or as a permanent residence.

The language barrier has been identified as one of the problems associated with buying property abroad. Taking this into account, HSBC, along with Solbank, provides customers with access to staff who are bilingual in Spanish and English, and who can offer guidance at every stage of the property buying process.

The banks are also offering the prestige care account, which has 22 lifestyle services, including professional help with translations and legal assistance, and home-related services such as recommending a plumber with a service guarantee.