Providers

The number of lenders offering current account mortgages has soared in recent years. At first it was only the high-tech newcomers like The One Account, Egg, Intelligent Finance Standard Life Bank and First Direct who offered them. But traditional banks and building societies have caught up fast. Abbey, Britannia, C&G, Nat West, Northern Rock, Royal Bank of Scotland and Woolwich all promoting them to new and existing customers alike.

Best news of all is that the interest rates on the current account deals have come down sharply as competition intensified. ‘A few years ago you paid a premium interest rate for the offsetting facility,’ says Ray Boulger of broker John Charcol. He reckoned that premium disappeared on the best loans back in August 2006. Now you can get current account deals on some of the best-buy deals – whether you want a fixed rate, a discount deal or a base rate tracker.