Here’s a summary of the key points of our Homeowner loans.

Lender details

UK Mortgage Lending Ltd trading as Pepper Money

4 Capital Quarter, Tyndall Street, Cardiff, CF10 4BZ.

Loan Purpose

Our Loans can be used for almost any legal purpose, depending on your individual circumstances.

Property

The loan must be secured on your primary residential address. This must be in the UK and already have a first charge mortgage secured against it. The property must be of mortgageable condition when the loan completes.

Valuation

A valuation of your property may be required, depending on the value of your property, the amount of the advance and your personal circumstances.

If you have received mortgage advice directly from us, we are responsible for ensuring that the valuation is carried out and we will pay the cost of it. In limited circumstances you may need to pay some, or all of this cost and we will notify you if this is the case.

If you have received mortgage advice from your personal mortgage adviser, the responsibility for ensuring the valuation is carried out, and for paying the cost of it, will fall to either your mortgage adviser or Pepper Money. Where a valuation fee is paid by us, some of our products will reflect this in the total cost of the loan. Where this is the case your illustration and offer documents will show that cost.

Loan Terms

We offer fixed, discounted, and variable rate homeowner loans between £5,000 and £1,000,000 for a duration of between 3 and 30 years, depending on your personal circumstances.

Loan types

We offer fixed, discounted, and variable rate homeowner loans on a capital and interest repayment basis.

A fixed rate mortgage has a fixed interest rate for a set period of time at the beginning of the mortgage. At the expiry of the fixed rate period, the reversion rate, which is the lenders variable rate, will be applied to the mortgage. An Early Repayment Charge will be applicable during the fixed rate period.

A discounted rate mortgage has an initial lower variable interest rate for a set period of time at the beginning of the mortgage. At the expiry of the discounted rate period, the reversion rate, which is the lenders variable rate, will be applied to the mortgage. An Early Repayment Charge will be applicable during the fixed rate period.

A variable rate mortgage has an interest rate that will be variable from inception, for the duration of the agreement.

Representative Example

Borrowing of £40,000, plus £595 lender fee, plus £3,000 broker fee, totalling £43,595, over 192 months on a 5-year fixed product with an initial borrowing rate of 9.2%, following a variable rate of 9.6%. There would be 60 monthly instalments of £434.49, following 132 monthly instalments of £442.52.

Total amount payable £84,577.09, made up of: Mortgage Amount £40,000, Interest £40,887.09, Lender fee £595, Broker fee £3,000, Exit Fee £95. Overall cost for comparison purposes 11.4% APRC.

Please be advised that any interest rate fluctuations, during the life of the mortgage contract, will affect the total amount repayable.

Possible Further Costs

There may be further costs which you may have to pay depending on particular events, or for a particular service provided by us. These are detailed in our Tariff of Fees and Charges.

Payment Options

Payments must be made monthly by Direct Debit for the duration of the term.

Early Repayment

You can repay your homeowner loan in full at any time, however early repayment charges may apply. Full details are contained in your Mortgage Offer document sent prior to completion or in the ‘Early Repayment Section’ on the reverse of your Loan Agreement.

Please do not hesitate to contact us if you are uncertain about the early repayment charges on your homeowner loan account.

Consequences of Non-Compliance

Should you encounter difficulties in making your monthly payments, please contact Pepper Money straight away to explore possible solutions.

Your home may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it.

Compliance with the conditions of the mortgage contract does not necessarily ensure repayment of the total amount of credit.