Hinckley & Rugby Building Society has cut the rates on four discount mortgages, the fees on one and launched a new product.

The new mortgage is a two-year discount charging 1.89% interest. It is available at up to 70% LTV (Loan to Value), has no Early repayment charges (ERC) and the overall cost for comparison is 5.0% APR.

The interest rate cuts cover four two-year discount mortgages:

• At up to 95% LTV the charging rate has been reduced to 4.45%. The overall cost for comparison is 5.6% APR
• At up to 90% LTV the interest rate is now 3.45%. The overall cost for comparison is 5.3% APR
• At up to 85% LTV the rate has been cut to 2.45%. The overall cost for comparison is 5.1% APR
• The buy-to-let mortgage at up to 75% LTV is down to 3.35%. The overall cost for comparison is 5.3% APR

The buy-to-let mortgage has also seen its completion fee cut from £1,250 to £999. The application fee remains unchanged at £250.

The fees for the other three existing mortgages remain at £295 on application and £695 on completion, the same as the new 70% LTV mortgage. All the residential discount mortgages have a free valuation up to £1 million.

At the end of the two-year discount period the mortgages revert to the Society’s Standard Variable Rate, currently 5.64%.

Hinckley & Rugby chief executive Chris White (pictured) said: “We’re providing even greater value with these mortgages, backed by our commitment to outstanding customer service.”