Changing your repayment method

If you're on an interest only mortgage, you can change to a capital repayment mortgage. This means you'll start to pay off the capital you borrowed as well as the interest. If you move your whole mortgage to capital repayment, you'll have paid it off in full by the end of the mortgage term.

• Changing your mortgage to capital repayment can have a big impact on your financial situation, as your monthly mortgage repayment will increase.
• You can also apply to change the term on your mortgage, however, a change of term will impact your monthly payments.
• Extending the term on a capital repayment mortgage will mean you'll be paying the mortgage back for longer. This means you'll pay more interest and end up paying more overall.
• Reducing the term on a capital repayment mortgage will mean you'll be paying the mortgage back over a shorter period. There is less time for interest to build up, so you'll pay less interest overall.

Whatever you decide, you need to be sure you'll be able to keep up the new payments.

You should remember that you can only extend your mortgage term up to your retirement age or if you have a Later Life Mortgage, to the maximum age of 90 for the oldest borrower.

Before you apply, you can use our mortgage calculator to check what your monthly payments would be if you were to change your repayment method or term.

If you're on a capital repayment mortgage and want to change to interest only, you need to make sure this is the right decision and you understand the implications of doing this.

• Changing your mortgage to interest only means your payments will be lower, however, you won't repay any of the capital you borrowed which means you'll always owe what you borrowed and over the long term, you may pay more overall.
• You'll need to meet our lending criteria with regards to loan to value and have a suitable repayment vehicle in place to repay the capital (the amount you borrowed) at the end of the mortgage term.

Before you apply, you can use our mortgage calculator to check what your monthly payments would be if you were to change your repayment method.

Use the links below to apply online to make changes to your repayment method. If you're applying to change your mortgage from interest only to capital repayment, you'll also have the opportunity to change your mortgage term.

When we receive your application, we'll process your request. There's a £50 charge to make a permanent change to your mortgage and there may be additional fees to pay if we need to reassess the value of your property for example.

Depending on your circumstances we may need to contact you to carry out an affordability check.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE