Options for repaying part of your lifetime mortgage

Making repayments will reduce the amount you owe and the total amount of interest charged over the duration of your lifetime mortgage.



Optional Partial Repayments

You can make Optional Partial Repayments on your lifetime mortgage. This will reduce the amount you owe without paying any Early Repayment Charge.

You can choose to make an Optional Partial Repayment at any time if

  • you've got our Interest Roll Up Lifetime Mortgage (was Flexible Lifetime Mortgage) Or;
  • you’ve stopped making monthly interest payments on your Optional Payment Lifetime Mortgage. 

You can repay up to 10% of the total amount borrowed (including additional borrowing) each year. An Early Repayment Charge will apply when making repayments above this limit.

There is more information in your Offer of Loan and All You Need to Know documents.

You can request to make an Optional Partial Repayment by calling our Customer Service team on 0333 004 8444. Monday to Friday 8.30am to 5.30pm. We may record and monitor calls.

We’ll send you information on how to make this payment and how it will affect your lifetime mortgage.

Partial repayments

You can make a partial repayment on your lifetime mortgage. This will reduce the amount you owe, but you may need to pay an Early Repayment Charge.

You can choose to make a partial repayment if

  • you've had our Interest Roll Up Lifetime Mortgage and have reached the annual limit of your Optional Partial Repayments.
  • you have an Optional Payment Lifetime Mortgage and want to make payments in excess of your monthly repayments. Or, you have stopped making monthly payments and have reached the annual limit of your Optional Partial Repayments.

There is more information in your Offer of Loan and All You Need to Know documents.

You can request to make a partial repayment by calling our Customer Service team on 0333 004 8444. Monday to Friday 8.30am to 5.30pm. We may record and monitor calls.

We’ll tell you how to make the payment, how it will affect your lifetime mortgage and if any Early Repayment Charge applies.

 

To request a repayment please have the following information ready:

  • Account number - to identify your account we need your account number. This is on your Offer of Loan document or your annual statement.
  • Details of your initial loan or most recent drawdown – this is to check that you're the person who took out the loan or have authority to act on their behalf. The information is on your Offer of Loan document or most recent annual statement.
  • Source of funds - We have a responsibility to ensure that the money we are receiving is from a legitimate source. We may ask you to provide evidence of where the money we are receiving has come from.
  • You may want to go back to your financial adviser for guidance.
  • Further information is in your Offer of Loan and All You Need to Know documents.
  • If you want to repay your lifetime mortgage in full, you can find more information on our repayments page.
  • To make a repayment you must be either an account holder or the attorney, for a Power of Attorney registered with us. All payments must be from the account holders bank account.

If you make a partial repayment, you may have to pay an Early Repayment Charge. This is calculated to recover costs for setting up a lifetime mortgage. This includes transaction costs for reinvesting the money, or due to changes in long-term interest rates.

When an Early Repayment Charge is applicable, this will be shown on the information we send you.