'Discount mortgages attractive despite likely rate rises'

Charcol insists discount mortgages still offer equally as good value as fixed rates, if not better, even though rates are widely expected to rise later this year. The comments come as the independent mortgage and financial adviser launches its own discounted mortgage which it claims to be a market leader. The product offers a 1.95% discount, to August 2004, which gives a current initial pay rate of 3.8% or 5.6% APR. Ray Boulger of Charcol said: "Some borrowers will prefer the easier budgeting provided by a fixed rate but those prepared to take a view on interest rates c...