Virgin Money raises variable rates by 50 basis points across the group


Virgin Money says it has raised its variable mortgage return rates, following a Bank of England base rate hike last month.

The lender, which also includes Clydesdale and Yorkshire Bank in its group, says its residential standard variable rate will rise by 50 basis points to 5.99%.

The move comes after the central bank raised interest rates by 50 basis points to 1.75% last month, its biggest hike since 1995, which took the base rate to a new 40-point high. year. This is the sixth rate hike since last December.

The high street lender adds that its loyalty rate, for eligible residential customers who have held a mortgage on a property for seven years or more, will increase by 50 basis points to 5.74%. And its variable buy-to-let rate increases by 50 basis points to 6.19%.

The lender says the revised rates will come into effect for new customers from September 6 and from October 1 for existing customers.

The group says that at Clydesdale Bank and Yorkshire Bank, their standard residential variable rates will rise by 50 basis points to 5.99%. Their residential compensatory variable rates increased by 50 basis points to 6.20%.

And their buy-to-let return rates, offsetting variable rates on investment property loans, all rise 50 basis points to 6.60%.

The group says the revised rates from these lender pairs will take effect for new customers from September 6 and for existing customers from their next payment date after September 6.

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