Changing the length of my mortgage

Thinking about reducing or extending the term (length) of your mortgage? Below is an overview of what you need to know.



Reducing my term with overpayments

You can reduce your term 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.

  1. Check you’re eligible to reduce your term.
  2. Use our overpayment calculator to get an idea of how your mortgage could change.
  3. Visit your hub to view your current overpayment allowance and make your overpayment.
  4. 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.
  5. 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.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE

Extend my term

If you have a repayment mortgage, you may be able to extend your term to reduce your monthly payments. Remember that the longer you take to repay your mortgage, the more interest you’ll pay overall. 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 concerned about making your payments, please read our Money Worries section for more information and advice.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE




See how making an overpayment changes your term or monthly payments






See how changing your term affects your monthly payments





YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE