Santander flexible offset mortgage (A review)

In this brief guide, we are going to discuss the Santander flexible offset mortgage.

The Santander flexible offset mortgage

The Santander flexible offset mortgage was a mortgage which was offered by Santander. It allows borrowers to have a linked savings account which was linked to their mortgage. Borrowers could withdraw money from this savings account and deposit money back into this savings account with little issue.

The interest rate on the mortgage balance was charged based on the difference between the funds in the linked offset savings account and the mortgage balance. 

Interest on the Santander flexible offset mortgage may have been charged weekly, daily or even monthly.

The is no longer available but there are other mortgage providers who still offer flexible offset mortgages.

If you are looking to get a flexible offset mortgage then you should ask your mortgage broker to search the market for these kind of mortgages.

Borrowing more from your Santander flexible offset mortgage

If you have a Santander flexible mortgage then you already have a pre agreed extra borrowing limit which was agreed when you initially took on the mortgage. 

You can access the pre agreed borrowing limit at the same rate as your Santander flexible offset mortgage.

You will usually only be able to access extra borrowing on your Santander mortgage if your loan to value is currently less than 90%.

When you take on extra borrowing you can repay this on an interest-only basis or on a capital repayment basis. Additional borrowing can be accessed through your online banking and you can also ask for a review to the credit limit which you can borrow if you are not satisfied with it.

You can call 0800 169 8264. To request a credit limit review for additional borrowing.

How to manage your Santander flexible offset mortgage

You can manage your Santander flexible offset mortgage with the Santander E-mortgage service. If you are having any issues using it then you can call Santander on 0845 600 0346. The use of the E-mortgage service is free.

Using a mortgage broker to get your Santander flexible offset mortgage

You may want to consider using an independent mortgage broker to get your mortgage.

Mortgage brokers are important as they can access single person mortgage products from across the whole of the market in some cases. This could be over 11,000 mortgage products. This may have some advantages than going directly to a mortgage lender.

A mortgage broker will look to understand your financial circumstances and then provide recommendations on which single person mortgage products may be suitable for you.

After giving you these mortgage recommendations, most mortgage brokers will seek your consent to apply for a mortgage in principle. 

This will allow you to shop for your home easier as more estate agents and sellers may take you seriously or it will give you confidence that your remortgage is indeed a possibility before you make a full mortgage application. 

Once you have found a home you want to buy or are satisfied with the mortgage offer for your remortgage then the mortgage broker will then look to get you a mortgage offer.

This will come with a key facts illustration document which details out the features of your mortgage including how much you will pay per month if there are any limits such as early repayment fees, or annual overpayment limits.

If you are happy with everything you can then go on to secure your mortgage with the help of a conveyancer. 

Your conveyancer will manage the legal searches on the property to ensure there aren’t any issues with it, they will oversee the sales agreement to ensure it is in your best interest, they will manage the transfer of mortgage funds, exchange contracts with the seller or their conveyancer and set a completion date with the seller or their conveyancer.

In this brief blog we discussed the Santander flexible offset mortgage. You can find out more about this mortgage by contacting Santander.

If you need financial advice and you live in the UK then you could contact the Money Advice service over the phone or via chat for impartial advice.

You can also contact the debt charity “Step Change” if you are in debt and need help.