Early repayment charges

House purchase

With a fixed rate mortgage, up to 10% of the loan balance may be repaid once a year without an early repayment charge. With a variable rate mortgage (not including our Standard Variable Rate) there are no early repayment charges unless overpayments take the outstanding balance below £100, or pay off the mortgage completely. Where early repayment charges do apply, the following table shows our current charging structure for the different products available.

Early Repayment Charge

Product Early Repayment Charges
Two Year Fixed Rate 2% of the chargeable balance* being repaid until the 12th payment has been made, followed by 1% for the remaining term of the fixed rate.
Five Year Fixed Rate 5% of the chargeable balance* being repaid until the 12th payment has been made, followed by 4% between the 12th and 24th payments, followed by 3% between the 24th and 36th payments, followed by 2% between the 36th and 48th payments, followed by 1% for the remaining term of the fixed rate.
Two Year Variable Rate 2% of the chargeable balance* being repaid until the 12th payment has been made, followed by 1% for the remaining term of the variable rate.
Standard Variable Rate No early repayment charges apply

*For fixed rate products the 'chargeable balance' is any amount repaid that exceeds 10% of the outstanding mortgage balance at the time of the repayment, or the full amount being repaid if a repayment has already been made in the same year. For variable rate products, the 'chargeable balance' is the full amount of mortgage taken on the variable rate product at the outset.

Remortgage

With a fixed rate mortgage, up to 10% of the loan balance may be repaid once a year without an early repayment charge. With a variable rate mortgage (not including our Standard Variable Rate) there are no early repayment charges unless overpayments take the outstanding balance below £100, or pay off the mortgage completely. Where early repayment charges do apply, the following table shows our current charging structure for the different products available.

Early Repayment Charge

Product Early Repayment Charges
Two Year Fixed Rate 2% of the chargeable balance* being repaid until the 12th payment has been made, followed by 1% for the remaining term of the fixed rate.
Five Year Fixed Rate 5% of the chargeable balance* being repaid until the 12th payment has been made, followed by 4% between the 12th and 24th payments, followed by 3% between the 24th and 36th payments, followed by 2% between the 36th and 48th payments, followed by 1% for the remaining term of the fixed rate.
Two Year Variable Rate 2% of the chargeable balance* being repaid until the 12th payment has been made, followed by 1% for the remaining term of the variable rate.
Standard Variable Rate No early repayment charges apply

*For fixed rate products the 'chargeable balance' is any amount repaid that exceeds 10% of the outstanding mortgage balance at the time of the repayment, or the full amount being repaid if a repayment has already been made in the same year.

Product transfer

With a fixed rate mortgage, up to 10% of the loan balance may be repaid once a year without an Early Repayment Charge. Where Early Repayment Charges apply, the following table shows our current charging structure for the different products available.

Early Repayment Charge

Product Early Repayment Charges
Two Year Fixed Rate 2% of the chargeable balance* being repaid until the 12th payment has been made, followed by 1% for the remaining term of the fixed rate.
Five Year Fixed Rate 5% of the chargeable balance* being repaid until the 12th payment has been made, followed by 4% between the 12th and 24th payments, followed by 3% between the 24th and 36th payments, followed by 2% between the 36th and 48th payments, followed by 1% for the remaining term of the fixed rate.
Two Year Variable Rate 2% of the chargeable balance* being repaid until the 12th payment has been made, followed by 1% for the remaining term of the variable rate.
Standard Variable Rate No early repayment charges apply

*For fixed rate products the 'chargeable balance' is any amount repaid that exceeds 10% of the outstanding mortgage balance at the time of the repayment, or the full amount being repaid if a repayment has already been made in the same year. For variable rate products, the 'chargeable balance' is the full amount of mortgage taken on the variable rate product at the outset.

Scottish Widows Bank is a trading name of Lloyds Bank plc. Registered office: 25 Gresham Street, London EC2V 7HN. Registered in England and Wales, no. 2065. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under number 119278.