Unlimited Overpayments

Richbutpoor

Hi,

Can anyone please advise on lenders that offer mortgage products with unlimited overpayments, with no early repayment charges?

I know Santander and First Direct offer products that claim to allow "unlimited overpayments" - is this the case in the truest sense? For these I would need to go through the hassle of getting a current account with that lender.

Coventry BS also have some Flexx products which allow this, but seems to be only on tracker mortgages now...

I am looking to take out a 20-25 year mortgage on a £130-£140k property with £40k deposit but pay back in full within 5 years.

Any help would be much appreciated.

Secret_Saving_Squirrel

Hello,

I had unlimited overpayments and no penalties with the Halifax and really didn't have any charges at all. But when I took it out, I had the choice of that or a more restricted product at a slightly lower interest rate, so you have to weigh up the benefit.

Good luck,

Squirrel

Wirenth

Hi Richbutpoor, I have a lifetime tracker with Santander that allows overpayments with no ERCs. The only catch is that each overpayment has to be at least £500, or they'll collate all the small OPs you make until it hits that level before applying it to the account.

silvertabby_2

Try HSbC I have an account with them and can make unlimited overpayments with no upper or lower limit. They also have some great interest rates.

maureen100

Mine is a Woolwich mortgage (now Barclays) & mine allows for that although my interest rate has been variable the whole time

rd07

I took out a 5 year fix with First Direct and that really is unlimited overpayments and, I think, providing you don't pay back the mortgage in full within the fix period, there are no penalties.

I'm not able to view my mortgage balance online but you can make overpayments directly through online banking (from your First Account) at any time. This might sound obvious but the way their documentation is written, it made it sound like you had to call every time you want to make an overpayment which isn't the case!