Stafford Railway Building Society has said it will pass on the Bank of England’s interest rate cut to all residential mortgage borrowers.
From 1 October the society’s residential borrowers receive a cut of 0.25 per cent on its standard variable rate which for most borrowers will reduce the rate from 3.20 per cent to 2.95 per cent.
Earlier this month the Bank of England cut the base rate by 0.25 per cent, pushing it to its lowest level in centuries.
Susan Whiting, chief executive of Stafford Railway, said: “The action we are taking in reducing the standard variable rate across our residential mortgage range benefits both our existing members and new borrowers.
“As a society, we provide simple mortgage products that are available at competitive rates with no product fees.
“Also, we continue to support individuals who want to borrow past their retirement age, with our entire range of residential mortgages available to be repaid by their 85th birthday.”
According to Moneyfacts the society holds the lowest SVR in the country for mortgages up to 75 per cent LTV.
The rate cut will be available to new and existing borrowers.
Adviser view
Daniel Bailey, a mortgage broker with Derbyshire-based Middleton Finance, said: “I have never used Stafford Railway Building Society before but their SVR does sound low.
“It is good news for borrowers that the interest rate cut is being passed on and people who cannot remortgage will have help with their monthly budgets.”
