Mortgage Payments

We’ll send you a welcome letter that tells you when your first mortgage payment is due.

It tells you the exact date and the amount we’ll take.

If you want to change your first payment date, contact our Mortgage Team and they’ll help you change it.

Once your first payment is taken, you can change your payment date yourself online through Manage your Mortgage.

You need a Direct Debit to pay your mortgage each month. This is part of your mortgage agreement.

Setting one up is quick and you can do it online through Manage your Mortgage.

When you set up your Direct Debit, we ask for:

• Full name(s) on the bank account (sole or joint)
• Account number
• Sort code
• Name of the bank or building society

If you can’t set up a Direct Debit, or a payment was returned unpaid, you can still make a payment straight away in Manage your Mortgage.

Payments made this way usually show on your mortgage within a few hours, and we’ll email you once it has gone through.

When you change your mortgage payment date, two payments can fall close together.

You still only make one payment for each month. Moving the date might bring your next payment forward, so it’s taken sooner than you’re used to.

Example

• Your payment normally comes out on the 28th.
• You move it to the 5th.
• You pay as normal on the 28th, and then the next payment is taken on the 5th of the following month.
  After that it settles into the 5th every month.

You can change your payment date at any time — the easiest way is through Manage your Mortgage.

Changing your payment date can affect the interest charged on your mortgage.

We work out interest each day, based on how much you owe and your interest rate.

We add this interest to your mortgage once a month. This is your interest charging date.

How your payment date affects things:

• After your interest charging date: more interest builds before your payment reaches us, so less of your payment goes towards reducing what you owe.
• On or before your interest charging date: no extra interest builds, so more of your payment goes towards paying off your mortgage.

At certain points, your monthly payments will be updated — for example, when your interest rate changes. These updates include any extra interest owed, so you usually still end up:

• clearing your balance in full if you have a capital and interest mortgage, or
• with the same amount owed if you’re on interest only.

If no update happens during your mortgage term, you might have a small balance left at the end. This means you could pay more overall.

If you use the wrong reference number, we can’t add the payment to your mortgage.

When this happens, the money is sent back to the bank account it came from. This usually takes up to 5 working days.

To avoid this, it’s best to pay by Direct Debit.

If you need to make a manual payment, the fastest and safest way is to pay online through Manage your Mortgage. This makes sure the details are correct, your payment reaches your mortgage within a few hours, and you get an email to confirm when it has gone through.

You can check your monthly mortgage payment at any time in Manage your Mortgage or Online Banking.

Your current payment is shown there, including any regular overpayments you’ve set up.

If you’re not sure or need help, you can speak to our Mortgage Team.

We’ll always tell you in advance if your monthly payment is going to change — for example, if your interest rate changes.

Sometimes a manual payment takes longer to show. This can happen if:

• system checks are still completing
• the payment was made outside normal banking hours

Most manual payments show within 1 working day, but some can take up to 5 working days.