Accord Mortgages has launched a new tracker mortgage with no early repayment charges (ERCs).

The new mortgage, which tracks the Bank of England base rate, is designed to provide homeowners with flexibility to exit their mortgage early without paying an ERC should their circumstances change over the next two years.

The two-year tracker has a 1.29% interest rate, and is available to both home buyers and those looking to remortgage with a 35% deposit and comes with a £995 product fee.

The intermediary-only lender, which is part of the Yorkshire Building Society Group, has also launched two new short-term fixed rate deals. These include a two-year fix at 1.32% at 65% LTV (loan-to-value), and a 1.62% two-year fix at 85% LTV.

Both mortgages are available to house purchase and remortgage customers and come with a £1,495 product fee plus free standard valuation.

Ben Merritt, mortgage product manager at Accord, said: “The current period of record-low interest rates gives borrowers the opportunity to maximise the money they save on their monthly repayments by overpaying on their home loan. Our new tracker allows them to do this with the reassurance that they are not incurring any charges and can switch product at any time without having to pay ERCs – that could be particularly appealing should the Base Rate creep up.

“In addition to the launch of these new products, there is even more good news for borrowers who want to make their money work harder as our entire range of offset mortgages now feature a free standard valuation to reduce the upfront costs of buying a new home or remortgaging.”