Direct Line has launched a remortgage package a two year fixed rate tracker mortgage will offer a rate of 4.79 per cent.
Direct Line believes that people looking for a remortgage face in a dilemma about whether to take on a fixed rate or tracker mortgage.
Fixed rate mortgages are said to offer certainty and security while customers could benefit from a discount tracker mortgage which follows the Bank of England base rate.
When taking up either mortgage option with Direct Line, customers are entitled to 20 per cent off Direct line home insurance and which comes with two years' free Direct Line home emergency cover.
David Dyer, Direct Line Mortgages commercial director, said: "Fixed rate mortgages offer the security which many customers feel most comfortable with and of late, the two year fixed rate has been the most popular type of mortgage in the country."
The new Direct Line Mortgage has been launched at a time when lenders are tending towards tracker mortgages because of the lower rates offered but Direct Line's three and five year fixed rate mortgages are still being offered at competitive rates.
