YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE
Will Lloyds TSB lend to you?
Please note that for purchasing new-build properties these mortgages are only available for borrowing up to 80% of the property’s value. A number of things are taken into account when deciding if we can lend to you. See our mortgage considerations.
Loans must start by 31 July 2010.
Rates effective from 24 February 2010.
Borrowing between £5,000 and £350,000, where your deposit and Helpers savings together equal 25% of the property value
Initial Rate | Followed by the Standard Variable Mortgage Rate, currently | The overall cost for comparison is | Product fee | Early Repayment Charges |
|---|---|---|---|---|
4.99% Fixed until 31 May 2013 | 2.50% for the remainder of the term | 3.5% APR | £895 | Yes. Until 31/05/2013 |
5.29% Fixed until 31 May 2013 | 2.50% for the remainder of the term | 3.5% APR | £395 | Yes. Until 31/05/2013 |
5.69% Fixed until 31 May 2013 | 2.50% for the remainder of the term | 3.6% APR | None | Yes. Until 31/05/2013 |
Mortgage fees
There are four fees that may apply:
Application fee - There is a £99 non-refundable application fee payable if you are purchasing a property. This is payable when you send us your mortgage application.
Product fee - The table(s) above show what non-refundable product fee (if any) is payable. Where a product fee applies, it will be added to your new mortgage. You can then pay the fee off within 30 days of the start of your mortgage, and no interest will be charged on it; or leave it on your mortgage to spread the cost and interest will be charged on it as part of your main mortgage.
Valuation fee - If you’re buying a property you’ll need to pay a valuation fee when you apply. The fee amount depends on the value of the property.
See our valuation details.
Transfer of funds fee - If you’re buying a property you will need to pay a non-refundable fee of £35 for transfer of money when your mortgage starts. The fee will be added to the loan and interest charged.
See full details of all our fees and charges.
Helper's legal advice
Because your helper will be making a major financial commitment, it is essential they get independent legal advice, and we require written confirmation that they have done so from the solicitor who advises them. The solicitor will charge the Helper a fee for this.
Early Repayment Charges
An Early Repayment Charge applies if you repay your mortgage (or more than 10% in any year) during the fixed-rate period. But you can repay up to 10% of the balance (as at 1 January) each year and the charge will not apply (unless you go on to repay or change the rest of the loan within the next six months). For amounts above 10%, the charge will be a percentage of the amount repaid and varies depending on how long you have left on your fixed rate – see below.
Repayment period | Charge (% of amount repaid or changed) |
|---|---|
Before 01/06/2011 | 3% |
01/06/2011 - 31/05/2012 | 3% |
01/06/2012 - 31/05/2013 | 2% |
What happens when the fixed-rate period ends?
Please check the date the rate is fixed until as, depending on when your loan starts, it may not be exactly 3 years - it may be slightly more or slightly less. After the fixed-rate period your loan will switch to the Standard Variable Mortgage Rate, which at that time, could be higher or lower than the rate you will have been paying and may vary over the remaining term of your mortgage. You may be able to take advantage of a different mortgage deal at that time – see details of how to switch to a new deal.
If the savings of the Helper are still required at this stage the legal charge will remain in place until the 42-month term on the savings account has finished, and the mortgage has dropped to 90% or less of the property’s value. You can then ask us to release the savings.
If you’ve decided that you’re ready to talk – then book an appointment with a mortgage expert at your local Lloyds TSB branch.
And because your Helpers are going to be involved, it may be useful for them to be there with you. We also think that, because this is such an important step – with a major financial commitment on your Helper’s part – it’s crucial for them to get independent legal advice.
Speak to a Mortgage Expert
Talk through your options by visiting your branch.
