Mortgages, Step-Up

A helping hand from your family

If you're ready to get your own place but are struggling to get a mortgage by yourself, maybe a relative can help out. With Step-Up, we can take a parent or close family member's income into account, as well as yours, when calculating how much we'll lend.

You must:

• be at least 21 years old and no older than 75 at the end of the mortgage term
• the maximum age of the relative at date of application is 65 years
• for applicants aged 56 years or over we may require further proof of income. For more information please speak us on 0845 766 5522
• have been in continuous employment for at least one year with an admissible income of £15,000 or more

And all parties must live in the UK.

Availability

Step-Up is available with our first time buyer and Offset mortgages, up to 90% loan to value, subject to the product chosen - up to £250,000.

However, it isn't available on Buy to let mortgages.

How we calculate the amount

We'll take two incomes into account, the main applicant and a parent or other close relative - although up to four people can be named on the mortgage deed. If your parent already has a mortgage, we'll also take their mortgage payment into account when calculating the amount you can borrow.

Who's responsible?

Everyone included on the mortgage and deed is separately responsible for all the obligations on the mortgage if it goes into arrears.

Who pays?

Direct Debits must be made from a single account each month, which does not need to be in all the names on the mortgage.

Important information

To make sure that Step-Up is right for you and your family, we recommend that you seek independent legal and financial advice. If you would like, we can provide you with details of an independent panel of solicitors, but we cannot accept responsibility for any advice received.

Later on, your family member can be released from your mortgage. When you're ready, you can apply for a transfer of equity to change the mortgage and deeds into your name only.

To transfer the property into your name you'll need to meet these requirements:

• You've had your mortgage for at least one year.
• You can prove that your income is sufficient to cover the mortgage payments.
• You've not fallen behind with your mortgage payments in the last six months.

How to apply?

You can apply for a Step-Up mortgage by:

• Making an appointment with one of our mortgage advisors at your local branch
• Talking to an advisor in our Customer Service Centre on 0845 601 5216

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