Paying off my mortgage

If you’re approaching the end of your mortgage term, or thinking of paying it off early you may have a few questions. To make things easier for you, the sections below explain what you’ll need to do.

Things to think about


Coming to the end of your mortgage term?

Once you’re close to the end of your mortgage term, we’ll send you a redemption statement. This will show what you’ll need to pay to close your mortgage account(s).

Once you’ve made your final mortgage payment, and the balance is repaid in full along with any fees to close your account(s) (if applicable), that’s it – you won’t need to make any further payments.

If we hold any title deeds to your property, we’ll also include a Title Document Release Authority Form for you to sign and return.

For information on the most common fees to pay when closing your mortgage account, see our Tariff of Mortgage Charges.

Looking to pay your mortgage off early?

If you find yourself in the position to do so, you may want to pay off your outstanding mortgage balance early. You can do this at any time, however, it’s worth bearing in mind that you’ll also need to pay any fees and early repayment charges that may apply. See our Tariff of Mortgage Charges for details.

Before deciding to pay off your mortgage early, it’s worth thinking carefully about your wider finances. For example, it may be better to pay off more expensive debt first. Things like credit or store cards can charge higher rates of interest.

Don’t forget, if you’re not able to fully pay off your mortgage, you can still make overpayments to reduce your outstanding balance.

If you’re ready to pay off your mortgage early, you’ll need to request a redemption statement. You can find explanations of the reasons to redeem on the end tab.



YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE
Redemption statement and deeds


Redemption statement

Before you can pay off your mortgage balance early, you’ll need to request a redemption statement. This will show your outstanding balance and any fees and charges you’ll need to pay to close your account(s).

If you’re coming to the end of your mortgage term, you don’t need to do anything. We’ll automatically pop a redemption statement in the post for you.

Request a redemption statement

Deeds

Nowadays many properties are registered electronically with the Land Registry. This means you don’t need paper deeds to prove ownership and for the majority of these cases, we won’t hold any title documents. Once you’ve fully paid off your mortgage, we only need to remove our charge at the Land Registry.

If we do hold deeds, we’ll send these out once the mortgage account is fully paid off. If solicitors acted in the redemption, we’ll forward the deeds to their address (unless instructed otherwise).

If you’re paying off your mortgage without using a solicitor, you’ll need to complete a Title Document Release Authority Form and return it to us. We’ll send you a copy of this form with your redemption statement.

You can find out whether we hold your deeds through your customer hub.



 

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

Once you’ve requested a redemption statement and know the final amount you need to pay to close your account(s), you can make a payment online.

Online payments are limited to a maximum of £12,000. If you need to make a payment over this amount, you’ll need to do a bank transfer. You’ll find details of our bank account on the redemption statement we send you.

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

Reasons to redeem terminology explained

A redemption statement details how much it will cost to pay off the mortgage on a certain date. You’ll need to confirm the reason that you want to redeem. Here are your options:

‘Own Funds’
Same property – Repaying my mortgage in full from my own funds

‘Sale of Property’
Moving home – Repaying mortgage in full (including moving to a new lender)

‘Remortgage to other Lender’
Same property – Remortgaging to another lender

‘Full term redemption’
Same property – Redeeming my mortgage at the end of its term

‘Re-Arrangement’
Same property – Re-arranging my mortgage to a new Bank of Ireland mortgage

‘New Property / Same Lender’
Moving home – Taking out a new Bank of Ireland mortgage

‘Porting’
Moving home – Porting my Bank of Ireland mortgage to a new property

‘Policy Maturity’
Same property – Redeeming my mortgage with funds from an endowment or insurance policy

‘Capital Reduction’
Same property – Make a part redemption (payment) on my mortgage