Atom bank cuts interest rates on Prime residential range
05 December 2024
Atom bank, the UK’s highest rated bank on Trustpilot, has reduced rates across its Prime residential mortgage range.
The reductions mean that Atom bank will be able to deliver greater support to potential homebuyers and those looking to remortgage.
Rates are being cut by 0.10% across the entirety of the Prime range. As a result, 95% LTV rates stand at 5.59% on a two-year fix, 5.44% on a three-year fix, and 5.24% on a five-year fix.
Rates are also being reduced for borrowers looking to raise additional sums with Atom bank, with a drop of 0.10% on both Further Advance and Retention products.
The rate reductions apply with immediate effect, providing a welcome boost to borrowers looking to push on with purchases or refinance ahead of the Christmas break.
Going further to support borrowers
These interest rate reductions are just the latest example of Atom bank improving its proposition to deliver for residential mortgage borrowers.
Alongside repeated rate cuts, Atom bank has adapted its criteria in a range of ways to ensure the bank can support greater numbers of borrowers. These include increasing the maximum loan-to-income limit to six times income for those earning more than £75,000, and raising the maximum loan-to-value available on flats, new-build flats and new-build houses in London and the South East.
In addition, Atom bank has broadened its Near Prime criteria to help more borrowers, by more than doubling the level of acceptable unsatisfied register defaults to £2,500 and cutting the ‘look back’ period for defaults from three years to two.
Richard Harrison, Head of Mortgages at Atom bank, commented:
“I have no doubt that this rate reduction will be warmly welcomed by brokers and borrowers alike. These cuts mean that Atom bank continues to offer incredible value to Prime borrowers, particularly those with only a modest deposit, who are looking to raise the funds for a purchase, to remortgage, or simply to obtain a further advance.
“These rate cuts go hand in hand with our recent criteria improvements, increasing income multiples to six times income for those earning above £75,000 and maximum LTVs to 95% on new-build houses in London and the South East, and are driven by our desire to deliver for a greater number of borrowers who may have been underserved elsewhere.
“The combination of keen pricing, cutting edge technology and a laser-like docus on working faster and more efficiently is helping Atom bank build a strong reputation with brokers. The fact that we have been named best bank in the Smart Money People Mortgage Lender Benchmark for H2 of 2024 - our third straight win - shows how our products and processes are resonating with advisers and their clients. We are determined to maintain that momentum in 2025 and beyond.
