You can pay off more than your required monthly payment - 'overpay' - and benefit in a number of ways:
If you are currently on our Base Mortgage Rate you have the flexibility to overpay by as much as you like, when you like. If you reserved your fixed or tracker product through Nationwide on or before 29 April 2009, through Derbyshire on or before 30 May 2009 or through Cheshire on or before the 14 June 2009, you’ll move on to the Nationwide BMR.
If you reserved your product after those dates, you’ll automatically move on to the Nationwide SMR. Both are variable rates which we may vary in accordance with our mortgage terms and conditions. The BMR is guaranteed to be no more then 2% above the Bank of England Base Rate, whilst the SMR has no upper limit or cap.
If you choose to switch from our BMR to a new product, it isn’t possible to switch back to our BMR at a later date.
Our fixed rate and tracker mortgages have limited flexibility. The amount you can overpay by without charge varies by your product type; you can find this amount on your statement summary page. If you overpay by more than this there will be an early repayment charge payable on the entire overpayment amount. If you reserved your mortgage through Cheshire or Derbyshire Building society please refer your mortgage offer.
To make a change to your current mortgage payment or your remaining term you need to have overpaid by at least £500 in one lump sum. Please check your statement summary page to ensure your product allows overpayments of this amount.
There are a number of different ways you can make overpayments to your mortgage account. These include cash, standing orders, cheques and internet banking. For internet banking and standing orders you will need our sort code 07-00-94, account number 44444445 and the reference number is your mortgage account number, which can be found on your statement.
Time off from paying your mortgage.
There may be times in the future when you want to take a break from paying your mortgage. Whether you're taking a break from regular employment for a while or starting a family, you can apply to take a payment holiday of between 3 and 12 months.
Not all of our products have the payment holiday feature, Consumer Credit Act 1974 regulated accounts and any products reserved after 3 March 2010 with Nationwide do not benefit from this feature. Cheshire and Derbyshire mortgage customers - please refer to your original mortgage offer.
Certain conditions apply and you must have held a Nationwide mortgage for 1 year or more.
Once your request has been granted, you'll receive a letter confirming the dates of your payment holiday.
If you are experiencing payment difficulties i.e. your income is insufficient to cover reasonable living expenses and meet financial commitments as they become due, please call us to discuss all the options that are available to you as a payment holiday may not be appropriate. More info
By making overpayments to your mortgage account, you can improve your flexibility when it comes to underpaying in the future. Any overpayments you make during each calendar year, within your product’s annual overpayment allowance, will contribute to and build up an overpayment reserve. For example, if you have an overpayment allowance of £10,000 over the course of a year and make a £1,000 overpayment in one month, you can use the £1,000 to pay reduced monthly payments at any time up to the value of the credit balance you have built up, provided all of your accounts are up to date. So if you find you want some flexibility with your monthly payments for a few months, your overpayment reserve can cover your monthly payments, or allow you to ‘underpay’ to reduce your monthly mortgage payment.
Terms and conditions apply, please contact us on 08457 30 20 10 for more information. We are available; Mon - Fri 8am-8pm and Sat 9am-5pm.