Adding or removing a borrower from your mortgage is called Change of Parties (CoP) or Transfer of Equity (TOE).
Adding someone to the mortgage is treated as a new application. And before removing someone, we’ll need to check the person remaining on the mortgage can still afford to pay it.
Once you’ve applied for a CoP, please appoint your own solicitor. You’ll also need to pay a fee which is in our list of Mortgage Charges.
If you intend to let out your property, you’ll need to let us know by completing the Tenancy Pack and by paying the Let With Consent Fee. If you haven’t got access to a printer, we can post this to you.
It’s really important you let us know if you’re letting out your property as without formal consent you’d be in breach of the terms and conditions of your mortgage.
Let With Consent Fee:
- The Let With Consent Fee is an annual fee of £199.
- When you return your completed Tenancy Pack you must make a payment for the first year’s fee. You can make this payment online or include a cheque to cover the fee.
- The fee must be paid before we’re able to review your application.
- If you pay the initial £199 charge and your application is declined, we’ll refund you the full amount.
A full list of fees can be found in our Tariff of Mortgage Charges.
In order to apply for a Let With Consent, we ask that:
- The mortgage is at least 12 months old
- The mortgage account is not in arrears
- For flats or maisonettes where fire risks have been previously identified, the tenant(s) should be given a copy of the latest Fire Risk Assessment Report for the subject building address.
We don’t allow a Let With Consent on licensed or unlicensed Houses in Multiple Occupation (HMO). For information on HMOs, contact your local authority.
Getting a new deal and further borrowing whilst letting your property:
- If you wish to change your mortgage product during the period of letting, we’ll only agree to do this if the mortgage is switched to a Buy to Let product.
- We don’t allow further borrowing on a residential mortgage product while the property is being let. Again, the mortgage must be switched to a Buy to Let product.
- In both of these circumstances, switching to a Buy to Let product will be subject to a full application, lending criteria and valuation.
Reducing my term with overpayments
You can reduce the term of your mortgage without changing your monthly payment by making overpayments. This means your mortgage will end sooner so you’ll pay less interest overall.
To reduce your term, you’ll need to complete the steps below each time you make an overpayment. Otherwise, we may automatically recalculate your payments.
- Check you’re eligible to reduce your term.
- Use our overpayment calculator to get an idea of how your mortgage could change.
- Visit your hub to view your current overpayment allowance and make your overpayment.
- Apply using ‘how can I reduce my term’ form via the ‘Tools’ button of your hub within 5 days of making your payment. If you submit your form after 5 days, we’ll send you a secure message about what happens next.
- We’ll write to you to confirm we’ve received your request. A copy of the confirmation needs to be signed by everyone named on the mortgage and returned to us before we can make any changes.
You can securely pay up to £12,000 through your hub. For payments over this amount, you’ll need to use a different payment method.
Reducing my term without overpayments
If you have a repayment mortgage, you may be able to reduce your term without making an overpayment. Whilst this means your mortgage will end sooner, your monthly payments will increase so we’ll need to make sure it remains affordable.
Use our term reduction calculator to see how your payments will change. To apply, you’ll need to get in touch.
Switching to a new mortgage rate
If you’re currently applying to switch to a new mortgage rate, or are about to, send us a message through your hub before making an overpayment. We’ll review your account and let you know the best way to proceed. You may also be able to reduce your term to a certain limit, without making an overpayment, as part of an online product switch.
If you have a repayment mortgage, you may be able to extend your term to reduce your monthly payments. We’ll need to check your new term is still affordable, particularly if it extends past retirement age. To extend your term, get in touch.
If you’re worried about making your mortgage payments, it’s really important to let us know. Talking to us about your financial situation makes it easier for us to help you. Please read our Money Worries section for more information.