The challenger bank has announced rate cuts of up to 0.2% for mortgages between 70% and 90% loan-to-value. The new product range is available from today, Tuesday 8 September.

New products include a two-year fixed rate at 1.99% for borrowers with a 30% deposit and a 2.05% deal at 85% loan-to-value. For those with a 10% deposit a 2.99% rate is on offer.

Virgin has cut its three-year fixed rate at 85% LTV by 0.20% to 2.55%, while the 90% LTV now starts from 3.45%.

For those looking to fix for longer, a five-year deal is on offer at 3.08% up to 85% loan-to-value.

All rates come with a £995 product fee, £500 cashback for first time buyers, and £300 cashback for home movers.

Peter Rogerson, Virgin Money’s commercial director for mortgages, said the new products would appeal to borrowers with small deposits.

“We’re delighted to announce these latest reductions to our mortgage rates, which will particularly benefit borrowers with lower deposits,” he said. “We are also continuing to waive the usual £99 application fee for a limited period, providing a further benefit to customers.”