Does your mortgage still suit your circumstances?

A change is a reason to review

Working fewer hours, moving in together, separating or retiring can affect what you can and want to pay. The end of a fixed-rate period is also a time to review the loan. A conversation starts with the change you expect and the question it raises. You do not have to choose a new product immediately; sometimes an explanation of your existing arrangements already provides greater clarity.

Understand your loan parts

A mortgage may consist of several loan parts with different repayment arrangements, terms and fixed-rate periods. Look beyond a single total on a statement. Ask what you will still owe at the end of the term and how you intend to pay it. With an interest-only part, for example, the debt remains a future consideration; the name does not mean repayment is never required.

Any policy or other savings arrangement linked to the mortgage must also be considered as part of the whole. Ending or changing it may have consequences that are not visible in the new monthly payment alone.

Read our explanation of an annuity mortgage.

Read our explanation of a linear mortgage.

Read our explanation of an interest-only mortgage.

Read our explanation of a savings-linked mortgage.

Consider interest, terms and costs together

A different interest rate or term may look attractive, but making a change can involve costs. Consider a possible early repayment charge and fees for advice, valuation or the notary. Remortgaging with another provider usually requires a fresh assessment. Compare the overall consequences and the period over which you want to assess the change, rather than just a lower initial monthly payment.

• When does your fixed-rate period end?
• What are your repayment arrangements and maturity date?
• Which terms do you want to keep or change?
• Which costs could affect the change?

Speak early if you are worried about payments

If you notice that housing costs are becoming harder to manage, do not wait until you fall into arrears. Contact your lender and discuss your circumstances. RFD can help clarify your mortgage question and explain which information is needed for a meeting. The solutions available depend on your circumstances and the assessment by the provider concerned. A change does not guarantee lower payments or prevent problems.

Also read the general explanation of housing costs after a loss of income; speak to your lender promptly if you have payment difficulties.

Start with your goals

For a meeting, consider your current mortgage alongside the changes in your life. Do you want more certainty for later, more flexibility or a different distribution of payments? Explain what matters to you. The work and costs of any services are agreed in advance. The Mortgage service comparison card is a general information document for this purpose.

An existing mortgage deserves a personal assessment. This page provides points to consider and does not replace advice on remortgaging, tax consequences or ending a product.

Services and comparison documents

The service comparison document describes our financial services and the stated costs. We agree the services and costs for your enquiry with you personally.

Frequently asked questions

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