MORTGAGES
Mortgage Charter support
The government has been working with the Financial Conduct Authority and lenders to put the Mortgage Charter in place, which offers support for UK mortgage holders.
As part of the Mortgage Charter, if you have a repayment or part-and-part mortgage, you can apply to reduce your monthly payments by either switching to interest-only for six months or extending your mortgage term.
You can apply for either of these options without a new affordability check, and we won’t report it negatively to credit reference agencies.
It’s important you understand that while this allows you to reduce your mortgage payments now, it will increase the overall cost of your mortgage as there’ll be more interest to pay. You’ll also have higher repayments when you go back to your original repayment plan or mortgage term.
Mortgage Charter support
Here’s what you could do with Mortgage Charter support.
Switch to an interest-only mortgage
You can apply to switch to interest-only payments for six months.
This would make your monthly payments lower during this six-month period, but would increase the overall cost of your mortgage over its full term, as you won’t be paying off any of the capital during this time.
We won’t need to do a new affordability assessment and won’t report it negatively to credit reference agencies.
At the end of the six months, you’ll automatically go back to your original mortgage payment plan and your monthly payments will increase to a higher level than before you switched to interest-only. This is because you’re paying back the same balance over a reduced period of time.
Use our Mortgage Charter support calculator to make sure you can afford this before deciding to switch.
Extend your mortgage term
You can apply to extend your term so you repay it over a longer period, which will reduce your monthly payments.
Doing this means your mortgage will cost more over the full term, because you’ll pay interest for a longer period.
The charter does give some flexibility in the first six months of making a change. For example, you could:
- Switch back to your original term – your payments will be higher than they were before you extended the term if you do this
- Partially revise the term so it’s between your original and extended term – for example, if you extended from 10 to 20 years, you could change it to 15 years instead
- Stick with the new term.
We won’t need to do a new affordability assessment and won’t report it negatively to credit reference agencies.
However, if you cancel the term extension after six months of making a change we will need to do a new affordability assessment.
Applying for Mortgage Charter support
Before applying for six months of interest-only payments or an extended term, you’ll need to make sure you meet the following conditions:
- You have a personal residential mortgage (not buy to let) for a property in the UK
- Your mortgage is not interest-only – you can’t extend the term of an interest-only mortgage
- You’re up to date with your mortgage payments and haven’t missed any payments totalling £50 or more across all mortgage accounts
- Extending your term won’t take you past your planned retirement age, or when the oldest applicant turns 70
- If you’ve got a joint mortgage, you’ll need permission from any other account holders to apply
- You haven’t previously extended your term or switched to interest-only on this mortgage account under the Mortgage Charter
- Your mortgage is either a capital repayment mortgage, or part interest-only and part-repayment mortgage.
Apply in the Barclays app
Our Mortgage Charter support calculator
Use the calculator to get an idea of how the support could impact you.
Our calculator can show you:
- How switching to interest-only will change your monthly payments during the support period and after it ends
- How extending your term will change your monthly payments
- How any changes will affect the overall cost of your mortgage.
It’s important you enter the most recent, accurate information to get a clear view of how either of these options could affect your mortgage and budget.
You can find your mortgage information and apply for Mortgage Charter support in our app(1) or Online Banking (1).
If you can’t use either of these or just need some help, please call us on 0333 202 7580. We’re here Monday to Friday from 7am to 8pm and 7am to 5pm on weekends (excluding bank holidays). Call charges.
Try our Mortgage Charter support calculator
Our free Mortgage Charter support calculator can show you the impact of switching to interest-only payments or extending your mortgage term.
Call us on
0333 202 7580
If you can’t apply in the app or just need some help.
Worried about making your payments?
If you’re worried about making your next monthly payment, please call us on 0333 202 7407 so we can find the best way to support you. We’re here Monday to Thursday from 8am to 8pm, Fridays from 8am to 6pm and Saturdays from 9am to 1pm (excluding bank holidays).
If your Mortgage Charter support ends soon, see our End of Mortgage Charter support page for guidance on what happens next.
Mortgage Charter support frequently asked questions
No, you can only apply for one of them for each mortgage account – you can either extend the term or switch to interest-only payments.
Yes, although before you do, you might be able to use your overpayment balance to make underpayments, which could be more cost effective than reducing your payments through the Mortgage Charter. You can check whether you have the option to set up an underpayment in Online Banking, under ‘Mortgage management’. If you can’t see this option, call us on 0333 202 7580. We’re here Monday to Friday, from 7am to 8pm, and from 7am to 5pm at weekends (excluding bank holidays).
Yes, you can apply for Mortgage Charter support if you have permission-to-let in place.
Yes, as long as each account meets the requirements. You’ll need to apply separately for each mortgage account. You can apply for support on each mortgage, regardless of whether it’s more than one mortgage for the same property or several mortgages on multiple properties.
No, you can apply for support under the Mortgage Charter no matter how long you’ve had your mortgage, but you’ll need to have at least six months left on your mortgage term.
If you’ve switched to interest-only payments, you’ll automatically go back to your original mortgage payment plan and your monthly payments will increase to a higher level than before you switched to interest-only. This is because you’re paying back the same balance over a reduced period of time, so use our mortgage support calculator to make sure you can afford this before deciding on this option.
If you’ve extended your mortgage term, you can:
- Return to your original term. You’ll need to let us know you want to do this within six months of changing your term. As you've made lower payments with charter support, your monthly payments under the original term will be higher than before you extended your term
- Keep the extended term
- Partially revise the term so it’s between your original and extended term – for example, if you extended from 10 to 20 years, you could change it to 15 years instead.
To make any further changes after six months, you’ll need to go through the normal mortgage application process, which is subject to our affordability and lending criteria and credit checks.
If your Mortgage Charter support ends soon, see our End of Mortgage Charter support page for guidance on what happens next.
To work out how much you can afford to pay towards your mortgage, you can start by looking at your other monthly commitments. This includes essential living costs like food, bills (for example, council tax, utilities, and phone bills), travel expenses, and paying back anything you owe – like any loans, credit cards or overdrafts.
For most people, it makes sense to pay your essential expenses and priority debts first before you pay anything that’s lower priority. You can work this out with our income and expenditure form [PDF, 1.5 MB].
You can also look at the Money Advice Service’s guide on prioritising your debts. If you’re struggling to pay any of your debts, you could try contacting the companies you owe to discuss your repayment options.
If you’d like some impartial and confidential advice, here are some details of organisations that may be able to help:
- MoneyHelper – visit moneyhelper.org.uk
- StepChange Debt Charity – call them on 0800 138 1111 or go to stepchange.org
- National Debtline – if you live in England, Scotland or Wales, go to nationaldebtline.org or call 0808 808 4000. For help managing your money, use their digital advice tool tools.nationaldebtline.org/dat-reg
- Citizens Advice – visit your local Citizens Advice or go to adviceguide.org.uk
If you’ve looked at your budget and you’re worried you won’t be able to afford the Mortgage Charter support options, please call us on 0333 202 7407. We’re here Monday to Thursday from 8am to 8pm, Fridays from 8am to 6pm and Saturdays from 9am to 1pm (excluding bank holidays).
Extending your term
If you’re applying to extend your term more than 14 days before your next payment is due, you’ll see the new amount in your next payment. If there are less than 14 days before your next payment when we approve your term extension, you’ll pay the new amount in the following month.
Example:
Approval date: 25 July
Next payment date: 1 August
New payment amount will start on 1 September.
Interest-only payments
We can only make changes to your payments between the 17th and 1st of the month. If you’re applying for interest-only payments with more than 14 days before your next payment is due, you’ll pay the new amount in your next upcoming payment. If there are less than 14 days before your next payment when we approve your interest-only application, you’ll pay the new amount in the following month.
We’ll send you details for your new payment amount and state dates at least 14 days before the due date of your first new payment amount.
Example:
Approval date: 3 August
Changes applied: 17 August
Next payment date: 20 August
New payment amount will start on 20 September.
Yes, you can still apply to switch to interest-only payments. If we approve your mortgage charter application, the temporary change to interest-only payments will start from the month after you apply or the following month if your next payment is due within 14 days.
Your rate switch will still go ahead as planned, and we’ll work out your interest-only payments based on whether you’re still paying the old rate or have switched to the new rate in each of those months.
We’ll send you an updated payment breakdown when the rate switch starts, and again at the end of the six-month interest-only period.
You’ll make interest-only payments for six months.
Yes, you can.
For interest-only payments: If your new rate starts during the six-month support period then any remaining interest-only payments will continue with the new rate. We’ll send you an updated payment breakdown when the rate switch starts and at the end of the six-month interest-only period.
If you change your mortgage, your existing insurance policy won’t be updated automatically so you might not have enough cover. You’ll need to check any insurance policies linked to your mortgage to make sure they still suit your needs.
Interest-only payments
If your insurance policy decreases over time, you might not have enough insurance to cover your full mortgage.
Extending your term
If you extend your mortgage term and your insurance covered the original term, you’ll have a shortfall in cover.
Yes.
Yes.
It’s the same as missing a mortgage payment and is a breach of your mortgage conditions. We’ll work with you to get back on track. Please call us on 0333 202 7407. We’re here Monday to Thursday from 8am to 8pm, Fridays from 8am to 6pm and Saturdays from 9am to 1pm (excluding bank holidays).
No. The Mortgage Charter has been designed to help you reduce your outgoings and we won’t report it negatively to credit reference agencies.
Yes, you can make changes to your mortgage as normal during the support period.
Yes.
Important information
You need to be 18 or over to access this product or service using the app. T&Cs apply.(Return to reference)
