5.39% variable, which includes a 2.21% discount from our Standard Variable Rate for 5 years.

Our Standard Variable Rate* for the remainder of the term, currently 7.60%.

6.9% APRC

100% - If over 80% LTV, then a parental helper is required to provide additional security. Please see our Buy for Uni page for details.

Fees

Arrangement fee - £599 (payable on completion, can be added to the loan providing the loan and fee does not exceed 100% of the property value)

Mortgage exit fee - £100 (payable when the mortgage is fully repaid)

Standard Valuation Fee – (Amount varies dependent on the property value)

Incentives

One free valuation of the parental helper’s property included.

If the parental helper deposits cash as security, this will be invested into a 35-Day Notice Account for the period of involvement with the mortgage and will receive interest associated with this account.

No early repayment charges apply.

Purchase Only

Capital & Interest or Interest-Only

25 years

Minimum £125,000 – Maximum £400,000

Portability

This product is portable and can be transferred from the existing property to a new property.

Interest rate floor

The interest rate for this mortgage has a ‘floor’, which means that it will never fall below 2.50% during the discount period.

Adding fees

If you add the arrangement fee to the loan, then interest will be charged on it resulting in a greater amount payable over the term of the mortgage.

Interest Only

Interest-only can be chosen to apply during the period of study, after this the mortgage will typically revert to a capital and interest basis for the remainder of the term. Should interest-only be required after studies then this is acceptable providing the loan-to-value does not exceed 70% and there is minimum equity of £200,000. A suitable strategy for repayment must be in place.

Eligibility

Property must be in England and Wales with a value of £125,000 or more.

If a legal charge is being taken over a parental helper’s property, their property value must be:

• Minimum £100,000 if a 1st charge is being taken (unmortgaged property).
• Minimum £250,000 if a 2nd charge is being taken (mortgaged property).

Please see our Buy for Uni page for details.

Mortgages are subject to underwriting.

This information is to help you understand the typical cost of this mortgage and is not representative of your personal circumstances.

A mortgage of £175,000.00 payable over 15 years, on an interest-only repayment basis, with an initial discounted rate of 5.39%, which includes a 2.21% discount from our Standard Variable Rate (SVR) for 5 years and then on our SVR, currently 7.60%, for the remaining 10 years. The initial term would require 60 monthly payments of £786.04, followed by 120 monthly payments of £1,108.33.

The total amount payable would be £356,106.00, made up of the loan amount (£175,000.00), plus interest (£180,162.20), Arrangement Fee (£599), Standard Valuation Fee (£245) and a Mortgage Exit Fee (£100).

The overall cost for comparison is 6.9% APRC.