Mortgage Charter

Following a recent announcement from the UK Government a new agreement has been reached between lenders, the FCA and the Government allowing customers to switch to an interest only mortgage for 6 months, or extend their term to reduce their monthly payments and switch back to their original term within the first 6 months, if they chose to. Both options can be taken without a new affordability check or affecting their credit score.

It’s important to understand that while these arrangements would reduce your monthly payments now, they will increase the overall cost of your mortgage and will result in increased payment amounts should you switch back to your original repayment arrangements or term.

These measures are designed to be offered without speaking to a Mortgage Advisor, however if you feel you do need to speak to someone, we can offer you an appointment with a mortgage advisor, but this will be subject to an affordability and suitability assessment.

Please fill in the details below

If you have a joint mortgage, only one account holder needs to fill in this form. If you have more than one property mortgaged with us, you’ll need to submit one form for each property.

First name*

Surname*

Date of Birth *

About your mortgage

Is this a joint mortgage account?*

Yes

If a joint account, what is the other person's full name?

Mortgage account number

Sort code

About your property

House or flat name / number*

Street name*

Town*

Postcode*

How to contact you

Telephone number*

Email address*

You confirm you’ve selected to make this change to your Mortgage on a non advised basis and made use of the available calculator to understand the impact to your future payments.

You confirm that this mortgage remains affordable to you both during and after the change that you have chosen to make.

You understand the total amount of interest you’ll pay over the full term of the mortgage will be higher and that your monthly payments may increase should you switch back to your original term.

If applying for a term extension, you have confirmed that your new term will not take you beyond your planned retirement age or age 70, whichever is sooner.

Making this change to your mortgage will not affect your credit score.

If applying for a term extension, you have the right to request for your mortgage to revert back to the original term within 6 months of the first new payment date without needing to complete an affordability assessment.

If you are able to meet your current mortgage repayments you should continue to do so without making any changes to your mortgage.

You’re eligible to apply to make changes to your mortgage under the rules of the Mortgage Charter if:

You have a Personal residential mortgage (not Buy to Let)

You’re up to date with your payments and not in arrears

Extending the term will not take you past your planned retirement age or age 70

You have not previously applied for either a term extension or switch to interest only under the terms of the Mortgage Charter.

You have a repayment or part interest only and part repayment mortgage. These solutions are not available for customers with interest only mortgages as they will not reduce your payments

What if I’ve been making overpayments to my mortgage?

If you’ve been making overpayments to your mortgage, you may be able to use these to reduce your mortgage monthly payment and this solution may be more cost effective than applying for a Mortgage Charter arrangement. Please contact us to discuss.

What if I need support with multiple mortgages?

You’ll need to make an application for each account that you hold. This is the case whether you have a mortgage on multiple properties or more than one account on one property.

Do I need to have held my mortgage for a certain amount of time before I can apply?

You can apply for support no matter how long you have held your mortgage

What happens after the initial 6 months?

If you’ve applied to extend the term of your mortgage, you have the option to switch back to your original term within 6 months of applying or continue with the new extended term. If you want to make changes after the 6 months, you’ll need to go through a full application process including an affordability assessment.

What types of mortgage products are eligible

You can apply for either of the support measures irrespective of whichever mortgage product you are currently on i.e. Fixed, Tracker, SVR.

When will the scheme come into effect and the first payment be debited from my account?

This will depend on when you apply for the measures and when your repayments currently leave your account. We will be able to give you a better indication once you have applied.

If I have already applied for a rate switch, can I still apply to extend my mortgage term? How will my rate switch be impacted?

Yes, you can still apply to switch to extend your mortgage term. Your rate switch will continue to take effect at the requested time and will not be impacted by this.

If I’ve applied to extend my mortgage term, can I still switch my rate?

Yes

What happens if I miss a payment when the term is extended?

Missing a payment under a Mortgage Charter arrangement is the same as missing a mortgage payment and is a breach of the conditions of your mortgage. If you're concerned that you won’t be able to make your mortgage payments, contact us right now to find out about the various ways we can help you. Please contaxt us - we’ve helped thousands of people who have money worries and we’re on hand to help you.

Do lenders need the consent of all parties in the mortgage for a term extension?

Yes

Will extending my term impact my credit score?

No

Terms and Conditions

Please read and confirm

I confirm I’ve read and agree to these terms and conditions.

Please read and confirm

I confirm I have completed the online calculator and I am happy to proceed. I understand that these measures will reduce my payments in the short term but increase the overall cost of my mortgage.

Privacy Policy

How will the information I provide be used?

We’re committed to protecting your personal data. We’ll use your information for a number of different purposes – for example, to manage your accounts, to provide our products and services to you and others and to meet our legal and regulatory obligations. We may also share your information with our trusted third parties for these purposes. You can read more detailed information on how and why we use your information, including the rights in relation to your personal data, and our legal grounds for using it.

Important information

You confirm you’ve selected to make this change to your Mortgage on a non advised basis and made use of the available calculator to understand the impact to your future payments.

You confirm that this mortgage remains affordable to you both during and after the change that you have chosen to make.

You understand the total amount of interest you’ll pay over the full term of the mortgage will be higher and that your monthly payments may increase after six months interest only or should you switch back to your original term.

If applying for a term extension, you have confirmed that your new term will not take you beyond your planned retirement age or age 70, whichever is sooner.

Making this change to your mortgage will not affect your credit score.

You understand you can not apply for a temporary change to interest only if you have had your mortgage term extended using the Mortgage Charter Support Measures.

If applying for a term extension, you have the right to request for your mortgage to revert back to the original term within 6 months of the first new payment date without needing to complete an affordability assessment.

If you are able to meet your current mortgage repayments you should continue to do so without making any changes to your mortgage.