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A straightforward capital repayment mortgage that tracks the Bank of England Base Rate for the duration of the loan, while giving you the flexibility to overpay whenever you like.
Arrangement fees may apply, see our latest mortgage offers for details.
With an offset Mortgage, you can link your 1st Account, Everyday Saving Account and Savings Account balances to your mortgage - then you only pay interest on the difference. For example, if your outstanding mortgage value was £100,000 and you linked a savings account to this, which had a balance of £10,000, you would only pay interest on £90,000 of your mortgage.
Because you will be using your 1st Account and day-to-day savings account balances to reduce the amount you owe on your mortgage, and not earning credit interest, there's no tax to pay. Find out which accounts can be linked to an offset Mortgage.
You could also redraw capital at any time, up to your agreed limit, which can be up to 75% of the value of your property. This will increase your interest payments and could increase the time it takes to pay off your mortgage. Any borrowing linked to your offset Mortgage will be secured against your property.
Arrangement and booking fees may apply, see our latest mortgage offers for details. If you close your fixed rate mortgage during the fixed rate period early repayment charges will apply.
If you move house, then the mortgage rate you enjoy with your first direct mortgage will also move with you - with no mortgage transfer fee to pay.
At first direct we always strive to bring you some of the most competitive mortgage rates around, whether you choose a variable or fixed rate.
With all of our mortgages, you are free to choose a monthly repayment date to suit your needs. And with a first direct offset Mortgage you can link as many eligible first direct 1st Accounts and day-to-day savings accounts as you wish. If you move the monthly dates of your standing orders and direct debits that debit a linked 1st Account, to leave the money in your account as long as possible, you'll have a greater balance to offset against your mortgage - also helping to reduce the amount you owe, so you pay less interest.
With a first direct offset Mortgage, you can choose a fixed interest rate. See our latest mortgage offers. A fixed rate gives you the security of knowing what you'll be paying over the fixed rate period. However, remember if rates fall, you could pay more on a fixed rate mortgage than you would on a variable rate mortgage.
Arrangement and booking fees will apply. See our latest mortgage offers for details. If you close your fixed rate offset Mortgage during the fixed rate period, there is an early repayment charge.
The Capped tracker Mortgage is a simple, straightforward offset Mortgage which must be repaid over a pre-agreed term and tracks the Bank of England Base Rate for the duration of the loan, with the added benefit of a maximum guaranteed rate (the CAP) for a set period of time. Your payments won't be fixed as the rate they link to is the Bank of England Base Rate, so if rates fall so do your payments. Likewise should they rise, your payments would increase. During the capped rate period your rate will not rise above the CAP. An admin closure fee of £149 is payable on closure of the mortgage. This fee is waived if you are transferring to another first direct mortgage.
Our Capped tracker Mortgage is not available to customers remortgaging from an existing first direct mortgage.
Whilst our offset Mortgage is interest only, our customers have the option to repay their mortgage as they would on a traditional capital repayment mortgage basis by making regular monthly overpayments of capital.
You can also make ad–hoc lump sum overpayments any time you wish.
Our mortgages have won numerous awards over the years, the most recent being What Mortgage Magazine's winner of Best Direct Lender over 5 Years (February 2007).
Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage.
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