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Your guide to our mortgage types

This quick guide explains the types of mortgages in our range and could help you decide which one is right for you.

Fixed rate mortgages

Mortgages that let you rest easy, knowing that your interest rate will remain fixed for a specified length of time.

If you don't like surprises and prefer to know your interest rate is going to remain stable, a Fixed rate mortgage could be the right choice for you.

Choosing a Fixed rate mortgage allows you to plan your finances, safe in the knowledge that your mortgage interest rate will not be affected by interest rate fluctuations during the period in which the fixed rate applies.

With a Fixed rate mortgage, you have a fixed rate of interest for an agreed period, meaning you know exactly how much your interest rate will be during that period.

You have the right to repay the loan either partially or in full during the term of the loan.

If you want to come out of a Fixed rate mortgage before the end of the special rate period, early repayment charges will apply. Please see the individual Fixed rate product pages for details.

Looking for a Fixed rate mortgage?

If you're ready to look at our products, choose from our range of Fixed rate mortgages.

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Offset mortgages

If you're looking for a different way to make the most of your savings why not consider an Offset mortgage?

Offset mortgages link your savings and mortgage to help reduce the interest you pay. This is done by using your savings to offset the balance of your mortgage.

With your Offset mortgage and Offset savings balances linked together, you only pay interest on the difference between the two. You can then choose to:

  • Pay off your mortgage quicker
  • Reduce your current mortgage payments
  • Reduce mortgage payments for future years.

When you first take out an Offset mortgage you'll get to choose which of the above options you'd like although you can change this at any time during the life of your mortgage simply by contacting us. There is more information on Offset options on our guide to your Offset options. (296 KB)

Whether you're buying a home, moving home, remortgaging or changing deal, an Offset mortgage also gives you an option to fix your interest rate for a set time or to track the Bank of England Base Rate.

If you want to come out of an Offset mortgage before the end of the special rate period, early repayment charges will apply. Please see the individual Offset product pages for details.

You have the right to repay the loan either partially or in full during the term of the loan.

Find out more about Offset mortgages

View our comprehensive Offset mortgage guide to find out more about how they work.

Looking for an Offset mortgage?

If you think Offset is the right option for you, take a look at our range of Offset mortgages.

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Tracker mortgages

Mortgages that follow the Bank of England Base Rate so your interest rate could go up or down.

Tracker mortgages track the Bank of England Base Rate, usually at a set rate above it. As the Bank of England Base Rate is variable, it can go up or down during the term and then so will the rate you pay. This means that your monthly payments may go up or down.

This could be the product for you if you want a variable interest rate on your mortgage and you think that interest rates will stay low for the foreseeable future. However you should also be aware that your monthly repayments could increase if the Base Rate were to go up.

A minimum rate of interest, referred to as a 'collar' or 'floor', usually applies to our Bank of England Base Rate tracker products and is detailed within the relevant product web pages and factsheets. This means that when the Bank of England Base Rate falls, the interest rate you pay also falls by the same amount but it cannot go any lower than the minimum rate of interest payable.

A maximum rate of interest if applied to a Tracker product is called a “cap”. This means that if the Base Rate increases, the interest rate you pay will not go above this maximum/cap.

You have the right to repay the loan either partially or in full during the term of the loan.

For details of the early repayment charges payable before the end of the special rate period, please refer to the individual product details.

Looking for a Tracker mortgage?

To see what Tracker mortgages we have to offer, view our current range of Tracker mortgages.

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Mortgage calculators

Use our simple calculator tools to work out how much your repayments could be, how much we could lend to you and if an Offset mortgage could save you money.

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