Furthermore, Abbey's two and three-year fixed mortgages will see their fees being cut by £500 to £995 and by £400 to £1,295 respectively.
Phil Cliff, Abbey mortgage director commented: "This is the second time in two weeks that we have cut rates and now we're cutting fees as well to offer customers a great deal. This follows our announcement of our strong performance in the mortgage market for the first half of the year."
Last week, Abbey cut the rates on a number of its two and three-year fixed-rate and tracker mortgages by up to 0.1 per cent.
At the same time, the bank launched a new range of low-fee mortgages for people borrowing less than £150,000.
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