Yorkshire Building Society re-enters tracker market

In addition customers have the choice of having the tracker product capped or uncapped.

Elsewhere, the society has also reduced the rates on all its fixed rate mortgage products by up to 0.3 per cent following a reduction in the cost of swaps.

Meanwhile Yorkshire Building Society has also launched a 10-year fixed rate product at 5.89 per cent for finance up to 75 per cent LTV.

Remortgage versions have free legal service and valuation options and all products have an application fee of just £495.

Tom Girling, mortgage product manager of Yorkshire Building Society, said: "Our new range of capped and uncapped trackers offer our customers the chance to benefit from a very competitive rate and the option of protecting their monthly payment if there should be a steep rise in interest rates during the term of the mortgage.

"Although there has been an increased demand in the market for trackers recently, with interest rates at an all time low many of us are considering fixing our deal in order to avoid much higher rates in the future which is why we have decided to launch a 10-year fixed rate deal at 5.89 per cent per cent.

"By choosing a long-term fixed rate, customers can guarantee mortgage repayments for the next decade which helps with household budgeting as you know exactly how much you're going to be paying every month for your mortgage."