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Paying your mortgage

To make sure your mortgage is paid on time, we recommend you pay by Direct Debit.


We’ll agree a date with you and take the amount from your bank account automatically. If the amount changes, we’ll take the new amount. Always make sure you’ve got enough money in your account to make the payment.


If you’d prefer to pay in a different way, call us on 0345 848 0246 to talk about this.

How interest works on your mortgage

We work out the interest on your mortgage daily. So, when you make a payment, you reduce what you owe straight away. That means you’ll pay less interest over time. At the end of each month, we add the interest to your mortgage account.


If any fees, charges or insurance premiums are added to your mortgage, these will increase the amount you owe and the interest due will be higher. Check out our tariff of mortgage charges for more details.

Regular overpayments and lump sum payments

Call us on 0345 848 0246 if you’d like to arrange a regular overpayment.


If you’d like to pay a lump sum towards your mortgage, the minimum amount you can pay is £250. We cannot give this back to you once you’ve made the payment.


An early repayment charge could apply if you make a lump sum payment to some types of mortgage, such as a Fixed Rate Mortgage.

Payment holidays

If things in your life change, you might need to skip a few payments. This is called a payment holiday. If you've overpaid it might be possible to arrange this. Call us on 0345 848 0246.


Lump sum overpayments are not treated in the same way as regular overpayments. Lump sum overpayments do not count when we review if you can take a payment holiday.

Annual payment review

Your monthly payment will be reviewed every year on 31 December. If your interest rate has changed during the year, or there are any fees on your account, we'll update your payment. We won't make any changes if you've already asked us to change your payment.


We'll tell you about your new payment amount in your Annual Mortgage Statement and it will start from the following March.

Early repayment

If you’re thinking of changing or transferring your mortgage deal early, there could be an early repayment charge. These usually apply if you are in a fixed rate or other promotional discounted rate and leave the mortgage early.


It will say in your mortgage offer documents if an early repayment charge applies to your mortgage. 


Call us on 0345 848 0246 if you need help with this.


We will charge you a mortgage exit fee when your mortgage is repaid in full. Check our tariff of mortgage charges for more details.

Trouble paying your mortgage

We're commited to helping you.

 

If you cannot pay your mortgage you may be worried you will lose your home. Your home will not be repossessed without your consent, in the 12 months after the first missed payment.

 

There are ways we could help and these include:

Agreeing lower payments for a short time. If we do this, the amount you owe might go up.
Changing your payments so you only pay the interest on what you owe.
Changing your payment date or making the term longer

Call us to talk about how we can help on 0345 848 0246.

Extra support

You can also contact Money Advice Trust (MAT). They give free, independent advice on debt problems and help you to find realistic solutions.

What you can do now

Keeping people up to date

Tell us if anything changes - including if you move to a new address.
Update other mortgage holders - Make sure any joint mortgage holders or guarantors know what's happening.

Helping your situation

Budget - Make a list of what you earn, owe and spend. You can download our household income and expenditure form to help with this.
Get independent advice - There are charities who can help like Citizens Advice and National Debt line. They'll help you find ways to manage your money and your mortgage payments.
Check if you can get help -  Visit gov.uk to find out if you can get help. If you have Mortgage Payment Insurance (MPI), you may be able to claim on it.
Prioritise your mortgage payments - If you're juggling different debts, always put your mortgage first.
If you get behind on payments, losing your home becomes a serious risk.

Your home may be repossessed if you do not keep up repayments on your mortgage.
No home will be repossessed without consent, within 12 months from the first missed payment.

Good to know

Admin and legal costs

 

If you are behind on payments, also known as being in arrears, we might charge you for any admin or legal costs we have to cover. We will let you know about any charges, and they'll be added to your mortgage account. You can find details of these changes in our tariff of mortgage charges.