Cashback Mortgages

pollyanna24

I've just been having a quick look at the various mortgages available to me. I will be getting a fixed mortgage as I like the security of knowing what we will be paying each month.

I would like to double check on the mortgages which came back as the most cost effective for me. Some of them offered cashback, so although the monthly payment appeared higher than some of the other mortgages, because of the cashback, they were considered cheaper overall.

This I think I get the gist of, but I just wondered if there were any catches in this sort of mortgage. When exactly do you get this cashback? Do you get it all in one lump sum? Are there extra tie in periods after the initial term? I've only had a normal fixed rate mortgage up to now, but if I get a lump sum paid to me, even though I may pay a little more each month, I think it is something I would investigate.