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Santander Mortgage Early Repayment Fee

My partner and I have decided to sell our properties and make the move towards a family home. She has been with Sentander for over 10 years and coming close to the end of her 5 year fixed contract at 6.5% (less than 6 months left in the contract).

Her house sold very quickly and now she faces an early exit penalty of £2K. We have met with Sentander and they said the only way to get out of the penalty is to keep the 6.5% mortgage rate and add it to our extra borrowing for the new family home.

Is there anyway we can get out of this penalty without taking a new mortgage at 6.5%? Considering the best rate for a new mortgage is around 3%.

Many thanks for all replies, I am new to this site.

Comments

  • dunstonh
    dunstonh Posts: 120,396 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    Is there anyway we can get out of this penalty without taking a new mortgage at 6.5%?

    No. You are reliant on the goodwill of the lender and they have given you their response.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • getmore4less
    getmore4less Posts: 46,882 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    If you port you only pay the 6.5% for the remainder of the fixed period then go to the followon rate.

    Extra borrowings should be on a current deal.


    Quick sale good price well worth £2k in the biigger scheme of things.
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