Product Transfer Mortgage

What is a product transfer and how does this work?

A product transfer is where you’re able to change your current mortgage product to a new one with the same lender.

Is it better to stay with your existing lender?

Transferring your current mortgage without looking at alternative lenders and their deals can be a bit restrictive. You would only know what your current lender’s got to offer, and not what all of the lenders across the market could give you.

When would I need a product transfer? Can I transfer early?

You may be able to. It depends on your current financial circumstances. Potentially, your current financial circumstances won’t allow you to take your mortgage elsewhere.

For example, if your family income is less than it was when you applied for your mortgage, or if something’s happened to your credit history, another lender might decline your application.

Many lenders will let you transfer at least four months before your existing deal is due to expire. Some will let you do it even six months in advance.

How long does a product transfer take?

The product transfer process can be really quick. Many lenders allow you to secure an offer on the same day as your initial application. Some may take four or five days, but this is still much quicker than remortgaging with another lender.

How much does a product transfer cost?

It depends on the product chosen. You may have arrangement fees. If you wanted to go for a cheaper fixed-rate product, you may get an arrangement fee applicable to that, rather than going for a slightly higher rate one with no fees.

If you want to speak to a mortgage broker to help you with that, they may charge you a fee, but they’ll give you an overview of what your options are.

Do you need a credit check for a product transfer?

Usually, no, you don’t need a credit check for a product transfer, and you don’t need to prove your income. It’s as simple as that, really.