Flexible features
Competitive rates and a range of flexible features as standard.
Daily interest
Switch and fix
Overpayment
Payment holidays
Daily interest
All Nationwide mortgages have daily interest as standard. Each time you pay off part of your mortgage, whether it's a regular payment or an overpayment, the interest is recalculated the next working day. This means you only pay interest on what you owe. It's the fairest way of charging interest. This reduces your mortgage balance without the need to wait for the end of the month or even year.
Switch and fix
All of our trackers offer the option to switch to one of our switcher fixed rate products at any time without paying early repayment charges on the tracker mortgage. This means you can select a tracker product with confidence, knowing that if interest rates rise causing your payments to increase, you have the option to switch to a fixed rate product at any time, only paying any reservation fee for the new fixed rate product.
Overpayment
You can pay off more than your required monthly payment – 'overpay' – and benefit in a number of ways:
- save interest straight away - any money you overpay is deducted from your balance the next working day
- pay your mortgage off earlier (if you have a repayment mortgage). For example, if you overpay by £75 a month on an £80,000 repayment mortgage at our Base Mortgage Rate, you could save over £20,000 and pay off your mortgage six years early
- borrow back the money that you have overpaid at any time
- reduce your monthly payments (underpayments) in the future
Our fully flexible mortgage – the Base Mortgage Rate, has unlimited flexibility so that you can overpay by as much as you like, when you like.
Our fixed rate and tracker mortgages have limited flexibility. You can overpay by £500 per month without charge. If you overpay by more than this there will be an early repayment charge payable on the entire overpayment amount.
Payment holidays
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.
Certain conditions apply and you must have held a Nationwide mortgage for 1 year or more. Your mortgage must be less than 80% of the value of your home at the end of your payment holiday.
Once your request has been granted, you'll receive a letter confirming the dates of your payment holiday.
If you are an existing Nationwide borrower and you want to take advantage of any of the flexible features or just get more information visit your local branch or call us on 08457 30 20 10.
Next steps: