How do discounted rate mortgages work?

Just like the name suggests – by offering you a discount on our Standard Variable Rate (SVR)* for a set amount of time. Talk to us about how long the discounted rate will run for.

A discounted SVR mortgage reduces the rate of interest you pay for an agreed period (an early repayment charge applies during the discounted period). After that, you go on to the SVR – or talk to us about a new deal. We’ll be happy to help.

What makes discounted rate mortgages different?

Interest rates are reduced on your initial payments. If the SVR goes up, so does your rate, still with the agreed discount applied. If the SVR goes down, then your rate will be lowered, still with the agreed discount applied.

Who might discounted rate mortgages suit?

If you don’t need the security of a fixed rate deal, which ensures you make the same monthly payment for an agreed period, a discounted SVR mortgage may be for you. Talk to one of our mortgage advisers to find out more.

*SVR mortgage repayments are based on a rate of interest set by us. That rate may go up or down according to changes in the Bank of England base rate, but it isn’t tied to it.

Applicants must be aged 18 or over. All loans are subject to status. Security will be required.

Our discounted rate mortgages

Please review our range of discount rate mortgages. If you need more information, our advisors are on hand to help with your mortgage queries.

Find out more abour our Discount standard variable rate mortgages