Temporary Interest Only Payments

How it works

If you choose this option, you'll start a 6-month period of temporary interest-only payments. This means that your monthly payments will only cover interest - not the mortgage capital (the loan) itself.

When the temporary interest-only period ends and you go back to paying your mortgage in the usual way, your payment will cover both the interest and the capital again, and the payments can be higher at this time.

After your last interest only payment, we'll contact you to let you know your new monthly payments.

This option isn't available if you've already missed a payment.

Next Steps

Step 1: Find out what your payments could be by using the interest only payment calculator.

This calculator can give an indication of your future monthly payments if you're considering a temporary 6 month interest only period

Before you get started

Information you'll need - The calculator asks for your outstanding balance, interest rate, the term (length) that is left on your mortgage, and the remaining time left on your current interest rate. You can get this information by chatting with us through the help option in your app, or reviewing your Annual Disclosure Statement.

The calculator assumes the interest rate will change to the current Standard Variable Rate for the remaining term left on your mortgage, after your current interest rate ends.

If you have a lifetime tracker or standard variable rate add the same term in the 'How long is left on your loan' and 'How long is left on your current rate' fields.

Loan Parts - If you have more than one loan part, you will need to use the calculator for each loan part.

The information provided by this calculator is a guide and should be used for indicative purposes only.

Step 2: Fill in the personalised illustration request form.

If you would like to understand more about this change to decide if it’s the right choice complete the form. Make sure all your details are correct as it helps us process your request without delay.

Illustration form

Step 3: We’ll send you a personalised illustration

You’ll receive a personalised illustration which will show the impact of temporary interest only payments. If you think this change is the right choice for you, you’ll be able to return back to this page and complete step 4 and or give us a call to proceed.

Step 4: Fill in the submission form

If you would like to proceed following receipt of your personalised illustration and feel it’s right for you, please complete the below form.

Complete the form

You’ll get a text confirming your new interest only payment, followed by a letter with full details of the changes.

Please note that you’ll need to complete all of above steps in order, to proceed with a temporary interest only. If they’re not completed in order, it may cause a delay.