Early payment occurs when you look to repay your property finance amount in full earlier than the minimum period length. There is no additional charge to repay early. However, you will need to pay the outstanding finance amount plus bank profit for any remaining fixed-rate or variable-rate payment period up to the early repayment date. An account settlement fee will also apply to early payment (£240) plus any legal fees.
For example, on a 5-year fixed rate at 6.61% (60 months), if you repay your finance on:
• Month 12, you will be liable to repay all profit for the remaining 48 months
• Month 24, you will be liable to repay all profit for the remaining 36 months
• Month 36, you will be liable to repay all profit for the remaining 24 months
• Month 48, you will be liable to repay all profit for the remaining 12 months
• Month 60, you will not be liable to repay any more profit