Your options on standard variable rate

SVR is the rate you could move to at the end of your current mortgage deal.

You could lose your home if you do not keep up repayments on your mortgage.

Understanding standard variable rate (SVR)

A standard variable rate is a lender’s normal rate without any deals or discounts.
When you reach the end of a fixed or tracker rate mortgage deal you will automatically move  to a standard variable mortgage rate. You will stay on SVR until you either switch to another deal or pay off your mortgage.
Our current SVR is 7.99%
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The pros and cons of staying on SVR

Pros

  • An SVR could go down which means your monthly mortgage payments will down, unlike a fixed rate.
  • You can make unlimited overpayments.
  • You can pay your mortgage off early without any early repayment charges (ERC).
  • You can switch to another mortgage deal at any time.

Cons

  • Standard variable rate is usually a higher rate than fixed or variable rate deals.
  • An SVR could go up which means your monthly mortgage payments will up, unlike a fixed rate.

What are my options?

Stay on SVR
You can choose to stay on SVR but in most cases it won't be the cheapest way to pay off your mortgage. Consider whether switching your mortgage to another deal would be a more affordable way to pay off your mortgage.
Switch to another mortgage deal
If you have more than £3,000 left to pay on your mortgage you can switch to another mortgage deal. It’s quick and easy.
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Log in to find a deal

You’ll need your mortgage account number. You can find this on any letter we've sent you about your mortgage.
 

Will I receive advice?
No

Get help from an expert

Talk to one of our friendly advisers about your options.
 

Will I receive advice?
It's your choice

0345 1200 891*

9am - 5pm Monday to Friday
9am - 1pm Saturday

Calls to 03 numbers cost the same 01 or 02 landline numbers, even when calling from a mobile.

How to switch to another mortgage deal

1

Review your options

Log in to review your options. Or you can speak to our team about your options over the phone.
2

Switch your deal

Switch online or over the phone. 
Once you’ve paid any fees we’ll confirm your new deal with a letter in the post. Your letter will give you the date you start your new rate. This is usually up to 5 working days after you ask to switch.

Things to consider

Quick checklist
  • If the mortgage is in joint names, you must have the authority to switch deal on behalf of all applicants.
  • The property should be your main residence.
  • Your mortgage must have less than one month's arrears and have no more than one missed payment in the last 12 months.
  • It will take up to 7 days to switch to a new deal. If the switch takes place up to the day before your usual payment date, we won't be able to stop the payment and you may end up paying the SVR rate for that month.

Things you’ll need to call us for

  • Making changes to interest only mortgages
  • Moving from another mortgage provider
  • Changes to term or repayment type
  • Borrowing more.
If you are trying to do any of these, please call us.

What happens when our SVR changes?

If your mortgage is based on our SVR and it goes up, the amount you pay for your mortgage will rise too. If our SVR goes down the amount you pay for your mortgage will also fall.

What happens when our SVR changes?

If there's been a change to our SVR we will write to you to recommend that you have your monthly payments recalculated.

Why recalculate your monthly payment?

If your mortgage payment is linked to our SVR it will be affected when the SVR goes up or down.

How this will affect your monthly payments?

We review your mortgage account annually so we normally recalculate any change to your monthly mortgage payment once a year on 31 December. Any changes to your new monthly payment will take effect from the following March.

This means that although your SVR mortgage is changing, your mortgage payment will stay the same until March next year.

What happens if the SVR has gone up and you don't recalculate your monthly payments?

You’ll be overpaying your interest until next March, this may mean lower mortgage payments in the future.

What happens if the SVR has gone down and you don't recalculate your monthly payments?

You’ll be underpaying your interest until next March, this may mean higher mortgage payments in the future.

What are the next steps?

If you’re happy to keep on paying the current monthly amount until March, then you don’t have to do anything.
If you would like us to recalculate your monthly payment amount please use the recalculation request form.

Trouble paying your mortgage?

If you find you cannot pay your mortgage, call us free on 0800 138 2401* as soon as possible so we can try to help you. For more information, read our guide page on what could happen if you're not able to pay your mortgage.
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