Early Repayment Charges
An early repayment charge is also known as a ‘redemption charge.’ This charge applies when the borrower wishes to redeem their mortgage within the scheme period.
Early repayment charges must be taken into consideration at start of an mortgage application. A Keyfacts Illustration and mortgage offer will demonstrate this. Applicants whom are remortgaging or selling their existing properties are advised to speak to their existing mortgage providers and to confirm the total amount.
For example: 6% within the first 3 years. Therefore a loan of £100,000 equates to £6000 penalty plus a possible a Withdrawal fee.
Most mortgage lenders offer a portability feature which is advised to avoid such penalties. Our mortgage brokers will be able to source and advise you the right mortgage deals based on your circumstances.
If you require further mortgage advice on early repayment charges, please speak to one of our mortgage advisers. Some mortgage lenders will offer a lesser early repayment charge therefore speaking to one of our mortgage advisers is important. We are based in Manchester city centre and can offer appointments to suit you.
A mortgage is a loan secured against your home or property. Your home may be repossessed if you do not keep up repayments on your mortgage.