Cashback

Standard variable rate with cashback

How it works
Same as standard variable rate loan (see above) but you receive a substantial sum (for example, 3-5% of the amount borrowed) shortly after you take up the loan.

Early repayment charge?
Yes, you will normally have to repay some or all of the cashback if you repay the mortgage in the early years.
 
Is it for you?
Yes, if you need a large cash sum - for example, to buy furniture.
Yes, if you expect the cash sum to more than compensate for any interest rate rises during the penalty period.
No, if you would be unable to cope with increased payments due to rising interest rates.
No, if you can manage without the cashback now and can get a better overall deal elsewhere.
 

Your property may be repossessed if you do not keep up repayments on your mortgage.

 The Financial Services Authority (FSA) does not regulate some forms of mortgage. 

The information set out on this page is intended to provide a general appreciation of the topic and it is not advice. Guidance should be sought from a specialist who is qualified to advise in your specific circumstances.

For more information on any aspect of mortgages please contact Surrey Financial Advice on 01483 211800 or email us at admin@surreyifa.co.uk  We will be happy to assist you.