Mortgages are highly regulated by the Financial Services Authority and are frequently seen as complicated and difficult to understand. We believe in trying to keep things as simple as possible and so have tried to keep the paperwork to a minimum whilst still providing all the information you need in order to make a balanced judgement.
We only provide our own mortgage products and therefore do not offer an advisory service.
Our mortgages are only available to members of the credit union and are subject to availability of funds.
At a glance:
- Fixed rate of 5.7% for the FULL term of the loan.
- Up to 90% loan to value.
- Fee of £750 which is added to the loan.
- Different to everything else on the market.
Who can apply?
Any member of No1 CopperPot Credit Union over the age of 18 who wants to mortgage a property they either own or wish to purchase.
What's the maximum amount I can borrow and over how long?
There is no maximum amount you can borrow and the term can be up to a maximum of 25 years. Lending guidelines are based on 4 times your salary if you are applying for a mortgage in a sole name, or 3.5 times the combined salary if you are applying for a joint mortgage. The maximum loan to value is no more than 90% of the property purchase price or valuation; whichever is lower.
What additional costs are involved?
There is a fixed arrangement fee of £750 which will be added to the loan so that you won't need to find the money up front. The fee is not payable until the mortgage is drawn.
You will also need to have the property valued for the security aspect of the mortgage. We will require that you use our valuation panel, Countrywide Surveyors. You must cover this cost and it is not refundable should the purchase not go ahead. The cost of the valuation may vary depending on the value of the property. This is a basic valuation which only assesses the actual value of the property to ensure that it is adequate as security for the mortgage. It will not reveal any hidden structural defects or other issues. If you wish to have a more in depth survey that assesses if the property is in good repair and highlights any hidden defects you may want to undertake a HomeBuyers Report as part of your survey. We can arrange this for you through Countrywide Surveyors. There will be an additional charge for this report. There is also a third type of survey that you may be interested in known as a Full Structural Survey. This is a much more detailed survey which would need to be negotiated with the surveyor and is often recommended for older properties.
What happens if interest rates go up?
The Bank of England Base rate may change but your mortgage with us will remain at the fixed rate it was when you took it out and your repayments will remain the same throughout. This is what is really unique about this product and allows you to plan your budget for the life of your mortgage. You need never have to worry again about fluctuating interest rates.
Why choose No1 CopperPot?
If you are from one of our 26 payroll forces you can make your repayments direct from your salary, if not you can make payment by direct debit. The fixed rate for the life of the Mortgage means you will always know what your repayments are going to be, which means you can budget into the long term and there will be no nasty surprises if interest rates suddenly increase.
Can I cover my mortgage repayments for uncertainties such as accident and sickness?
You can also obtain your own Payment Protection Insurance to cover your mortgage and this is widely available on the high street. CUNA Mutual also offer Income Protection and you can find out more about their product here:
What if I want to make extra payments or repay early?
You can make extra payments towards your mortgage at any point up to a maximum of 10% of the outstanding balance per annum and there are no penalties for doing this.
If you repay your mortgage completely within the first 5 years there is a redemption fee of 3% of the outstanding balance. After the mortgage has been running for five years there will be no fee for repaying the outstanding funds early.
What if I move house?
You can transfer your mortgage to a new property at any time subject to our normal lending criteria. We will not charge the early repayment fee but the loan rate will be amended to the rate prevailing at that time.
How do I apply?
To apply for one of our mortgages you can contact the office on 0845 130 1852 to request an application pack or go to our contact us pages for more ways to get in touch.
Your home may be repossessed if you fail to keep up repayments on a mortgage.
