rate change

Why are you increasing interest rates?

Our product is a variable loan.  We have made a decision to increase our rates, in line with our terms and conditions, to ensure that our business is sustainably and prudently managed.

Why have you increased rates when the Bank of England Base Rate has reduced over the past 9 months?

Interest rates are not directly linked to the Bank of England Base Rate.  We take into account several factors when reviewing rates and have made a decision to increase interest rates, to ensure that our business is sustainably and prudently managed.

How will I know if my rate is changing?

We will be communicating in writing with all affected customers.

What do I need to do if my rate is changing?

If you have a direct debit, you do not need to take any action, we will automatically change it for you.  If you pay by other means you will need to make the necessary arrangements to reflect the new monthly payment amount.

My rate has increased, when will my new monthly payments be confirmed?

Our customer care team will write to you shortly to advise you of the changes to your future monthly repayments.

What is the difference between a fixed and variable rate?

The interest rate on your loan is variable.  This means that the rate could go up or down.  We do not offer a fixed rate loan.

When can I expect interest rates to change again?

We cannot predict this.  Any future changes will be advised, in line with the terms and conditions of the loan, which states that the interest rate is variable.  We will always advise our customers as soon as possible, in writing, of a rate increase or decrease that affects their monthly repayments.

Was my rate on application a low "start-up" rate?

The interest rate applicable at the time of your application reflected your personal circumstances.  As the rate is variable it can alter, as outlined in your terms and conditions.

I am experiencing financial difficulties, how can you help?

As a Firstplus Homeowner Loan is secured against your property, it is important to make sure that if you do come up against any difficulties, your monthly secured loan repayments are prioritised and maintained.  If you are currently experiencing any financial difficulties or have any concerns about your future ability to repay your Homeowner Loan, please contact us as soon as possible on 0845 848 0124*.

Can I settle my loan?

Yes, but please be aware that there may be an early settlement fee in line with your terms and conditions.  You can request a settlement figure by contacting us.

Can I request to change or reduce my monthly repayment amount?

A request for a possible extension of the loan term to a maximum of 25 years is subject to an application process^†. Please contact us to discuss this.