Nationwide 10% overpayment of the original loan

AgathaSquirrel

We routinely overpay our mortgage and are just about to remortgage at the end of our fix.

I’ve been struggling to find nationwide’s definition of original loan. Our original mortgage with Nationwide was £140000. We’ve stayed with them through subsequent remortgages and are now about to remortgage again with our remaining £66000. Is the 10% overpayment based on the £140000 or £66000?


Thanks

Sncjw

Could you message them or look on your mortgage account. 

BarelySentientAI

My reading would be £140k.

You've never taken another loan, only applied for new product terms on the existing one.

I'm not Nationwide though.

pdel61

Some of their earlier products had an overpayment limit of £500

Hoenir

Give them a call. 

amnblog

Nationwide base your overpayment allowance on the original loan amount and not the reducing balance.
If you started with £140,000 that should equal £14,000 allowance.

Obviously, I do not know your history so the golden rule (with all Lenders) is always check with the Lender first on limits for your individual account.

daveaspy

You can overpay as much as you like when not on a fix can't you? I don't know if they let you do that when going from one fix to another, they might if you ask? Is it worth moving to a tracker which has no exit fee, make the unlimited overpayment, then switch to a fix?

jimjames

When you say remortgage, do you really mean that or that you've switched to a new rate/product? A remortgage would be a full application again which doesn't sound likely if that is the same lender all the way through.

We're with Nationwide and the overpayments were on the original balance regardless of other products we switched to at different times. The balance at the point of switching was never shown anywhere on the account.

AgathaSquirrel

Thank you. Took your advice and phoned. It’s the original £140000.

Jemma01

AgathaSquirrel said:

Thank you. Took your advice and phoned. It’s the original £140000.

Ugh, I'd hate that. Can you negotiate a new term for the new loan, or go to another lender?

BarelySentientAI

Jemma01 said:

AgathaSquirrel said:

Thank you. Took your advice and phoned. It’s the original £140000.

Ugh, I'd hate that. Can you negotiate a new term for the new loan, or go to another lender?

Isn't that positive news - much larger overpayments are possible based on Nationwide's answer?