Santander mortgage overpayment

LJG1985

I should be completing my house purchase next month...


I have my fixed mortgage in place with Santander. I can overpay by up to 10% annually of the outstanding amount. Having read through the info on the website, these overpayments go into a 'savings pot'.


I hope to save/overpay close to the 10% limit per year (Unless something major unexpectedly occurs!). I realise this is better to do than put into savings accounts I currently have.


I would just like to know whether this overpaid money in the Santander 'savings pot' is actually accessible? ie Can I withdraw it again if needed


If not I would need to top up my savings for a few months cover first?


Hope that makes sense, thanks!

muhandis

From what you say, it sounds like an offset mortgage where overpayments reduce your capital amount for the purposes of interest calculation but can't be taken back out when needed or an overpayment reserve (Nationwide used to have them on their older mortgages, not any more).

Having recently taken out a mortgage and considered Santander as one of the lenders, I wasn't aware that Santander offers offset mortgages or mortgages with an 'overpayment reserve' feature.

Please would you mind posting the link to webpage where it indicates that overpayments go into a savings pot?

Thanks,

K

LJG1985 wrote: »

I should be completing my house purchase next month...

I have my fixed mortgage in place with Santander. I can overpay by up to 10% annually of the outstanding amount. Having read through the info on the website, these overpayments go into a 'savings pot'.

I hope to save/overpay close to the 10% limit per year (Unless something major unexpectedly occurs!). I realise this is better to do than put into savings accounts I currently have.

I would just like to know whether this overpaid money in the Santander 'savings pot' is actually accessible? ie Can I withdraw it again if needed

If not I would need to top up my savings for a few months cover first?

Hope that makes sense, thanks!

LJG1985

No problem...


http://www.santander.co.uk/uk/mortgages/existing-santander-mortgage-customers


I think that I have actually just answered my own question too when searching Google for this again! :rotfl:

muhandis

So do Santander still offer new offset mortgages or is the webpage talking about pre-existing ones?

Thanks,

K

LJG1985 wrote: »

No problem...

http://www.santander.co.uk/uk/mortgages/existing-santander-mortgage-customers

I think that I have actually just answered my own question too when searching Google for this again! :rotfl: