Able to withdraw overpayments?

Maddie

Hi,

I'm looking into possible mortgages and wondered if it is possible to withdraw overpayments with any lenders? I seem to remember Nationwide allowed this in the past. I'm not looking for a 'flexible mortgage' as such as I don't want to pay a high interest rate for the privalege.

From Nationwide's website, they allow you to use your overpayments to take a payment holiday or reduce monthly payments on their normal mortgage products - do any other lenders offer anything similar?

Thanks

Maddie

Burridge60

Yes.

But I would suggest you get a name and get it in writing. We have evidence that what happened in the past might not happen in the future.

So check that it is a cast iron condition that you can.

Using a proper Offset mortgage would remove this question mark but as you say you would pay for that privilege.

Maddie

Thanks,

So from what you say might it be possible with all lenders? Or are you you refering to Nationwide?

Do you know of any other lenders who allow you to use overpayments to take payment holidays etc as Nationwide do?

daveyjp

The mortgage arena has changed so much you need to ask the providers.

Abbey used to offer very flexible mortgages.

Burridge60

Nationwide allow unlimited over payments on BMR (2.50%) or their newer variable rate (3.99%).

They limit their overpayments to £500 per month per account when on a product but you can have up to four accounts all on the same product and all for one fee! (the largest). So four accounts/products and all the same deal and a £2,000 over payment monthly. Check their website and ask for yourself to confirm.

I am sure it wont be around forever.

There can be better rates around.

LillythePink

We have a mortgage with the Co-op and can make over payments which are credited to a separate fund.

We can withdraw this money if needed, then the interest just goes up again.

So it's like an offset but not. We can also take payment holidays provided that your "missed" months don't take you above the original mortgage amount.