Switch to a better mortgage deal with your existing lender. Product transfers offer a simpler alternative to remortgaging, often with lower fees and faster processing.
Your home/property may be repossessed if you do not keep up repayments on a mortgage or other debt secured on it.
A product transfer allows you to switch to a new mortgage deal with your existing lender without changing lenders. This can be a simpler and more cost-effective alternative to remortgaging.
Move from your current mortgage product to a new one with the same lender, often with better rates or terms.
Product transfers typically have lower fees than remortgaging, as you're not changing lenders or requiring new legal work.
Since you're staying with your existing lender, the process is typically much faster than a full remortgage application.
Product transfers can be beneficial in various situations. Understanding when they make sense helps you make the right decision.
When your fixed rate period ends and you're moved to the lender's standard variable rate, a product transfer can secure a better rate.
If remortgaging costs are high due to early repayment charges or legal fees, a product transfer may be more cost-effective.
If your credit score has changed or you're concerned about affordability checks, staying with your current lender may be easier.
When you need to secure a new rate quickly, product transfers typically process much faster than full remortgages.
Understanding the differences between product transfers and remortgaging helps you choose the right option for your situation.
Both options allow you to switch to a better mortgage deal, but they work differently:
Understanding the steps involved in a product transfer helps you prepare and know what to expect.
Review your current lender's available products and compare rates. Consider whether a product transfer or remortgage would be better for your situation.
Complete the application for your chosen new product. This is typically simpler than a full mortgage application as you're an existing customer.
Your lender will still need to verify you can afford the new payments, but this is usually less stringent than a new mortgage application.
Once approved, your mortgage will switch to the new product on the agreed date, typically at the end of your current deal period.
Unlike remortgaging, product transfers don't require new legal work, making the process simpler and more cost-effective.
Product transfers offer several advantages, but it's important to consider all factors before making your decision.
Product transfers offer several advantages over remortgaging in the right circumstances.
There are some limitations to consider when choosing a product transfer over remortgaging.
Calculate whether a product transfer or remortgage would be more cost-effective for your situation.
Get expert advice on whether a product transfer or remortgage is right for you. Our qualified Advisers can help you most appropriate deals.