TSB cuts interest rates

TSB Bank has joined the latest round of interest rate cuts with reductions in rates of between 0.3 per cent and 0.6 per cent. TSB, however, reduced its variable mortgage rate to 6.75 per cent (6.9 per cent APR) in February and this rate is being maintained for existing customers. Rates for new mortgage customers are being reduced by 0.15 of a percentage point to 5.75 per cent (6.9 per cent APR). Fixed rates are being reduced by between 0.3 and 0.6 of a percentage point - one year fixed rates will now be 5.95 per cent (6.9 per cent APR), two year fixed rates will be 6.95 per cent (7.0 per cent APR) while five year fixed rates will be 8.75 per cent (7.9 per cent APR).