Formula 1 fans may wish to save for new mortgage

Thursday, July 1st 2010

A new Grand Prix mortgage has been launched by Santander that may incentivise saving, especially to Formula 1 fans.

The bank's Grand Prix Podium Special is a three-year tracker deal with an interest rate of 3.21 per cent.

In addition to this, it carries no extra fees and requires a 25 per cent deposit to be paid by buyers who sign up to it.

Meanwhile, "We've increased the loan-to-value to 80 per cent on both the two-year fixed and two-year tracker to help those borrowers with smaller deposits," explains Phil Cliff, mortgage director at Santander.

To take advantage of the offers made by the lender, consumers may first need to save some money to build up a healthy deposit.

One way to do this is by reducing the size of bills, such as food and energy payments, while cutting back on non-essential items.

Some may have been given a helping hand by Ofgem, which has announced an investigation into unjustified energy tariffs has resulted in a significant reduction of prices.