Nationwide, reducing the term, then increasing it?

Temrael

Hi there,

We are almost 4 years into a 5 year fixed (4.45%) 20 year Portman mortgage which has now obviously moved to Nationwide.

My wife and I have talked about making overpayments but never really gotten round to it, being happy instead to see our savings grow loads, thinking that we might use some of these savings to allow us to remortgage for less at the end of our fixed term but savings rates being the way they are now this doesn't seem to make a lot of sense.

We currently put away quite a lot of money a month to savings and so I was very interested to read on here that Nationwide let you reduce the term of your mortgage (thus increasing your repayment), without this counting towards your entitlement to make overpayments.

We picked up the form to adjust repayments from Nationwide today but before we commit to anything I wanted to check something.

I read that as well as reducing the term of your mortgage you can also increase the term? Are you able to do this after reducing the term?

It would make me feel better to know that, having reduced the term, if the worst happened and the wife or I lost my job next year, I could increase the term back to what it originally was (or even longer?) while money was tighter?

Does anyone know?

dimbo61

I am not with the Portman or the Nationwide but I have reduced the term of my mortgage ( cost me £50)
I was told I could also increase the term ( up to normal retirement age IE 65)
Give them a ring and ask about the costs ( if any)

littlemrtinkle

no cost to change term with nationwide

Temrael

Thanks both of you.

So I can reduce the term and then increase it back in the future if needs be?

uzubairu

Temrael wrote: »

Thanks both of you.

So I can reduce the term and then increase it back in the future if needs be?

Yes you can.
I'm with the Nationwide too, and just reduced the term for the 2nd time this year.

littlemrtinkle

you can also increase the term within the period of first taking out mortgage

if you take out a 25 year mortgage you can't increase the term beyond 25 years (This is what i think happens but please corecct me if i get it wrong)

contact nationwide by phone they are great and will answer all questions dont use online messages as they never reply

uzubairu

littlemrtinkle wrote: »

if you take out a 25 year mortgage you can't increase the term beyond 25 years (This is what i think happens but please corecct me if i get it wrong)

contact nationwide by phone they are great and will answer all questions dont use online messages as they never reply

Yes that correct.

I have found online messaging very helpful.

Changed direct debit payment date, enquired about what end date I need to put on the form to generate a certain monthly payment.
My last request for a form to reduce to the term was made online and the form arrived 3 days later.

Temrael

Thanks guys.

littlemrtinkle

unfortunatly i haven;t had the same luck, sent a message a month ago about mortgage term as it happens and never had a reply. Sent another message two weeks ago still no reply. Gave up and called them in the end. Guy on the phone couldn;t have been more helpful. I think in future i will just stick to phoning nationwide for a quicker response.