The Chelsea Building Society has launched a new fee-free offset range.

All mortgages in the range include a free standard valuation, with house purchase customers benefitting from £250 cashback on completion, and remortgage customers being given free standard legal fees.

New deals include a two-year offset mortgage fixed at 2.09% at 65% LTV and a 2.14% two-year fixed rate offset mortgage for customers with a 25% deposit.

Richard Barker, product manager for Chelsea Building Society, said: “Offset mortgages can be a great option for some borrowers – they work by offsetting the borrower’s savings balance against the size of their mortgage loan so they only pay interest on the difference between what they’ve saved and what they’ve borrowed.

“By offsetting their savings against their mortgage in this way, borrowers can reduce the overall term and pay off their home loans more quickly, or reduce their monthly payments. As a mutual organisation which exists purely for the interests of its members, we have introduced this new range of fee-free offsets to reduce the upfront costs of an offset mortgage. We hope this will help more borrowers to consider whether an offset could be the right option for them.”