Tesco enters into the mortgage market today with a new range of financial services products that earn customers Clubcard points. 

Tesco Bank mortgages will give Clubcard holders one point for every £4 of mortgage repayments. Tesco has around 15 million households signed up to its Clubcard scheme and is looking to capitalise on this established customer base. 

Philip Clarke, chief executive, Tesco said: “The launch of Tesco Bank mortgages is a major milestone towards offering Tesco customers a full retail banking service.”

Benny Higgins, chief executive of Tesco Bank, commented: “Entering the mortgage market is a significant step in broadening the products we offer to Tesco customers. With a focus on serving Tesco customers for the long-term, we will take responsible lending decisions and have developed a mortgage business to meet our customers' needs now and into the future.”

The Tesco Bank mortgage product range includes two, three and five-year fixed rate mortgages, and a two-year base rate tracker. Rates start at 3.19% for a two-year fixed, with a maximum LTV of 70%).  

Posted by

Smarayda Christoforou