This page gives you the latest mortgage updates relating to coronavirus.
Santander is working with the industry and regulators to develop ways in which we can support our customers affected by coronavirus, including reviewing the recent proposals from the FCA on the extension of mortgage payment holidays. All customers who have taken a mortgage payment holiday will be contacted by us before the end date. Further details will also be shared on our website in early June.
If your client is adversely affected by coronavirus, the Government has confirmed that they can take a mortgage payment holiday on their residential or Buy to Let mortgage for up to three months to help their financial situation.
Taking a mortgage payment holiday means that your client won't pay their mortgage for up to three months and we’ll add those payments to their mortgage balance.
As a result:
• their mortgage balance will increase
• the amount of interest they pay will increase
• their monthly payment will increase and be recalculated over their remaining mortgage term.
There’s no fee for taking a mortgage payment holiday.
If your client is currently up to date with their payments, the mortgage payment holiday won’t impact their credit file, and they won’t go into arrears on their mortgage.
Please be aware that if they pay by Direct Debit and their mortgage payment is due within the next 10 days, we may not be able to arrange the mortgage payment holiday for their next monthly payment due to the automated Direct Debit collection process. If not, it will take effect from the following month.
If your client doesn't pay by Direct Debit, they’ll need to stop making their mortgage payments during their payment holiday. Please make sure they allow enough time to stop or cancel their payments before they’re due.
- Online – regardless of when their next payment is due, it’s quick and easy to apply for a payment holiday.
- By phone – if your client can’t make their next mortgage payment which is due within the next 10 days, they should call us on 0800 023 4603. Please be aware that our wait times may be longer than usual.
Yes. If your client takes a mortgage payment holiday, we’ll add their monthly payments to their mortgage balance.
This means that their mortgage balance will increase and the amount of interest they pay will increase for the remaining term of their mortgage. Their monthly payment then increases to reflect this after the payment holiday has ended.
If their circumstances change during or after the mortgage payment holiday period, they can overpay on their mortgage to reduce the balance and therefore the additional interest to be charged. For more information on ways to overpay they can visit the Manage your mortgage page. Please note if they use Online Banking, they cannot make an overpayment online during their payment holiday period.
Yes. They can apply for a mortgage payment holiday if their mortgage is already in arrears.
Their existing arrears balance will still be payable to us and they’ll be charged interest on their arrears which will be added to their arrears balance.
If they already have an arrangement with us to repay their arrears, this arrangement will be cancelled during the mortgage payment holiday. We’ll contact them when their payment holiday ends to agree a new arrangement with them.
Making additional payments
If their circumstances change during or after the mortgage payment holiday period, they can overpay on their mortgage to reduce the balance and therefore the additional interest to be charged. For more information on how to overpay they can visit our Manage your mortgage page. Please note if they use Online Banking, they can’t make an overpayment online during their payment holiday period.
No. Once we’ve processed their request, we’ll pause their Direct Debit, so their mortgage payment won’t come out of their account. When their payment holiday ends, we’ll automatically start taking their Direct Debit again. If they cancel their Direct Debit, we won’t be able to take their new monthly payment which will mean they’ll need to set it up again, and ultimately, it could lead to their mortgage going into arrears.
Whether your client applies for a payment holiday online or by phone, once we’ve received their application, if they’ve provided their mobile number, they’ll receive a text message the next day letting them know we have their application.
Once we’ve processed their application, we’ll send them another text message confirming that we’ve set up the payment holiday. We’ll also send them confirmation by post including what it means for their mortgage. Please be aware that there could be delays to the postal service.
Then during their payment holiday period, we’ll write to them after each monthly payment is added to their mortgage balance confirming their new monthly payment.
If they use Online Banking, they’ll be able to see that their payment holiday is active under ‘Manage my mortgage’. They may also note under ‘View transactions’ that it shows an arrears balance at the top next to their outstanding balance during the payment holiday period. They don’t need to worry about this as their account won’t be in arrears as a result of the payment holiday and their credit file won’t be negatively impacted or worsen if they’re already in arrears.
Santander has a dedicated team on hand to support your client if they’ve been financially impacted by coronavirus (Covid-19) and they’ll be able to discuss the different payment options available to them for their residential or Buy to Let mortgage.
One of the options available is a mortgage payment holiday, also known as deferring your monthly mortgage payment. If they take a mortgage payment holiday, this means that they wouldn’t make mortgage payments for up to three months and we’ll add these payments onto their mortgage balance. As a result, their mortgage balance will increase and their monthly payment will be recalculated over their remaining mortgage term. Their monthly payment and the amount of interest they pay will increase for the remaining term of their mortgage. There is no fee for taking a mortgage payment holiday.
If they’re currently up to date with their payments, the mortgage payment holiday will not impact their credit score, and they will not go into arrears on their mortgage.
If their mortgage is already in arrears, they can still apply for a mortgage payment holiday and their current arrears will remain outstanding. The payment holiday will not increase their current arrears.
Please be aware that if they pay by Direct Debit and their mortgage payment is due within the next ten days, we may not be able to arrange the mortgage payment holiday for their next monthly payment due to the automated Direct Debit collection process. If not, it will take effect from the following month.
How to apply
• Online - regardless of when your client's next payment is due, if they pay by Direct Debit, it’s quick and easy for them to apply for a payment holiday.
• By phone – if they don't pay by Direct Debit or they can't make their next mortgage payment within the next 10 days, they should call us on 0800 023 4603. We are helping a lot of customers currently and our wait time is significantly higher than usual.
If they’re able to make their monthly mortgage payments for the time being, they should carry on doing so.
However, if their situation is likely to change within the next month as a result of coronavirus, the quickest and easiest way for them to apply for a payment holiday is online.
Or they can call us on 0800 023 4603 if they can’t make their next mortgage payment which is due within the next 10 days. Please be aware that our wait times may be longer than usual.
If your client has more than one Santander mortgage they wish to take a payment holiday for, they need to complete a separate online form for each property.
Yes. If your client has either a residential or Buy to Let mortgage and is impacted by coronavirus, they can apply online for a mortgage payment holiday at santander.co.uk. Regardless of when their next payment is due, if they pay by Direct Debit, it’s quick and easy to apply online. Please encourage your clients to apply online wherever possible.
Your existing clients who don't pay by Direct Debit or where their mortgage payment is due within the next 10 days, can still call us on 0800 023 4603 request a payment holiday.
If they have applied for a mortgage payment holiday and they would now like to cancel it, they should call us on 0800 917 5630. Please be aware that our wait times may be longer than usual.
Extending their payment holiday
If they originally requested a 1-month payment holiday and it’s ending soon, they should call us on 0800 783 9738 if they need the payment holiday to continue and we’ll help them.
Please note they can’t currently have a payment holiday period of more than 3 months. We’re working as quickly as possible to allow them to do this and we’ll update our website when this is available. We ask that they do not make a further payment holiday request either online or by phone for the amended payment holiday period as this will not be processed.
Reducing their payment holiday
We’re working as quickly as possible to allow them to do this and we’ll update our website when it’s available. In the meantime, they should not make another request online or by phone as this won’t be processed.
If they pay their mortgage by Direct Debit
We’ll automatically restart their payments on the same date each month as their previous payments, so they don’t need to do anything. However, if they cancelled their mortgage Direct Debit with their bank, they need to call us on 0800 783 9738 to set it up again or their monthly payment won’t be taken, which means their mortgage could go into arrears.
If they pay their mortgage in another way
They must restart their payments. Please make sure they allow enough time to restart their payments before they’re due.
Their first payment
Their first monthly payment after the payment holiday has ended will be for the same amount as before their payment holiday started. We’ll then write to them to confirm what their increased future monthly payments will be.
If your client originally requested a 1 or 2-month payment holiday and it’s ending soon, they can call us on 0800 783 9738 if they need the payment holiday to continue and we’ll help them.
If they’ve already chosen a 3-month payment holiday and they can’t pay their mortgage after this time, they should call 0800 023 4603.
Their first monthly mortgage payment will be for the same amount as before their payment holiday started.
We’ll then write to them to confirm what their increased future monthly payments will be.
We’d like to reassure you and your client that all our product transfer requests are being reviewed and processed as normal.
Yes. Their new deal will start on the date previously communicated to them and they‘ll receive another email confirming this as well as a completion statement as soon as it starts.
Yes. They can apply for a new deal if their existing deal ends within the next four months.
If your client is looking for a new residential or Buy to Let mortgage deal with us, it’s quick and easy to transfer their existing Santander mortgage using our Online Mortgage Transfer Service. All you need to do is have your client’s permission to log on using their personal details and provide them with an advised level of service.
Yes. If your client is eligible for a product transfer, you can request a new residential or Buy to Let (BTL) mortgage deal whilst they're on a mortgage payment holiday using our Online Mortgage Transfer Service in Introducer Internet.
No. All pre-booked product transfers will still complete on the date communicated. An email confirming the new deal has started will be sent to you and your client, and their completion statement will be sent out to them in the post.
No. The decision to 'switch now' would be made at the time your client accepted their new deal. The product switch will now be at maturity. There is no manual override for this.
No. An additional loan application will not be considered until the payment holiday has ended.
We should be notified of any change in circumstances. Any supporting documentation will be requested, where required, to ensure the application remains acceptable to us in line with our current mortgage lending policy.
The application would ordinarily proceed to completion but, if there's any material change to the customer's circumstances, we should be made aware of it to review whether it has an impact on the lending decision. If the remortgage does continue and the mortgage balance differs at completion due to the payment holiday, your client will need to request the £750 mortgage buffer, pay the balance shortfall via the solicitors or we'll need to amend the offer.
Yes. Consideration of any application is primarily based on our affordability assessment and therefore the current payment holiday would be taken into account.
All applications submitted will be assessed on your client's current income. Or if your client's income is subsequently adversely affected by the impact of coronavirus after application submission, this will be considered as a material change and the application will be reassessed. If you are made aware of any material change to your client's circumstances, please ensure this is reflected in the current application details or provide full details via a MATS note to enable an accurate decision.
Your client will need to obtain evidence that this is the case from the employer e.g. a letter.
Your client will need to obtain the following income evidence:
- Latest payslip showing their income has returned to pre-furloughed amount
- Latest payslip showing furloughed income; and
- Last payslip prior to being furloughed showing the full salary; and
- Letter from their employer confirming their return to work conditions e.g. the return to work date and confirmation that the applicant’s terms and conditions remain unchanged and their income will return to pre-furloughed amount.
This request would require a full contract variation, including full mortgage application, proof of income and a valuation, so we’re not able to do these as ad hoc requests.
Our dedicated Telephone Team are currently at reduced capacity at the moment so these requests may take longer than usual.
If your client is currently taking a mortgage payment holiday, an additional loan or a contract variation application will not be considered until the mortgage payment holiday has ended.
If your client wants to reduce their monthly outgoings, the mortgage payment holiday remains the most straight forward option.
Northern Ireland, Scotland & Wales
Following the latest Government advice, our valuation partners are still unable to inspect properties at this time. We’ll send you a MATS message update where your clients’ cases are impacted by this. It’s important to note that our valuation partners are not cancelling instructions, but simply placing valuations on hold until further notice.
Where we can check the property value without needing to enter the property, we’ll continue to do this.
Following the latest Government advice about how to work safely in other people’s homes during coronavirus, our valuation partners have confirmed that they can fully comply with the Government’s guidance on managing the risk of Covid-19.
From Monday 18 May they’ll start to book appointments to perform physical property inspections again.
Where we can check the property value without needing to enter the property, we’ll continue to do this.
Yes. The product fee will be refunded.
We'll request written evidence that the required action has been completed as outlined in the retention conditions i.e. copy of receipts and warranty confirmation.
We'll be extending the validity period of valuations to 9 months for applications 75% and above.
No. Our existing process will be followed to allow applications to reach completion wherever possible, unless we are advised otherwise by the solicitor, your client or you.
No. There is no change to the current timescales to process a certificate of title.
We'd like to reassure you that we continue to issue redemption statements within our usual timescales.
Staff at these firms who are able to work from home continue to process 'free legals' cases. We ask that instead of calling, where you do have a query, please email your usual contact in order to get a reply.
Santander Operations are responding to queries as normal and there is no change to the process. Solicitors/Conveyancers should ring them direct using the telephone number on the Offer of Mortgage.
Yes, we are.
Pre-exchange of contracts
All new business mortgage applications submitted prior to 9pm on Tuesday 31 March have automatically been granted a two-month mortgage offer extension to enable them to complete (subject to the valuation expiry date supporting an extension of this period) .
For these cases, the maximum extension allowed is two months e.g. if a previous extension was granted for one month, the automatic extension will provide a further month giving two months in total.
At the end of the two-month extension, the application will need to be reassessed and new proof of income may be required. If your client's finances have been adversely affected by the impact of coronavirus, the application will be reassessed using their current income.
Any cases submitted from 6am on Wednesday 1 April are not be eligible for the two-month mortgage offer extension and these cases will be processed in line with our existing offer validity.
Post-exchange of contracts
All pipeline cases prior to 9pm on Tuesday 31 March are eligible for a three-month extension (subject to the valuation expiry date supporting an extension of this period) .
Your client’s Solicitor/Conveyancer should call Santander Operations direct to confirm exchange of contracts has taken place using the telephone number on the mortgage offer.
At the end of the three-month extension, the application will need to be reassessed and new proof of income may be required. If your client's finances have been adversely affected by the impact of coronavirus, the application will be reassessed using their current income.
If you become aware of any material changes then we should be notified so we can ensure the application remains acceptable to us.
We reserve the right to request copies of any documents required. Where we can we will accept EID. If a copy of a passport is requested this will need to be provided.
You must continue to carry out checks including the anti-fraud impersonation check. Please refer to Joint Money Laundering Steering Group (JMLSG) for guidance
All other validation rules apply.
You do not need to certify documents in the current situation where it's not possible to do so.
However, you must add a note Mortgage Application Tracking System (MATS) to confirm that the documents are customer copies and the originals have not been not seen but an anti-fraud impersonation check has been completed.
We'll accept photographs, photocopies and scanned documents if this is the only way your client can supply them.
Whilst in the current situation, we'll accept electronic signatures where it is not possible for your client to provide a wet signature. This only applies to Santander. The Conveyancer will advise your client what their requirements are.
We’ve temporarily increased our surplus funds limit to £150,000 and above (previously £75,000 and above).
We’ll require certified ID where the capital raising amount is £150,000 or over.
We’ll accept ID where you have certified the client’s ID with the ‘true likeness’ statement. This will have required you seeing the customer F2F at interview stage to be able to verify that statement.
LMS/ENACT have been advised of this change.
The Land Registry have advised that they are not currently relaxing their requirements in relation to the mortgage deed being witnessed.
Law Firms therefore can progress the case, but the mortgage cannot complete without the document being correctly completed and received.
This means that deeds of title, including our charge documents, cannot be registered following completion.
In Scotland, cases can still proceed to completion as agreement has been reached through UK Finance for an extension to the initial protection offered to lenders by the RoS in respect of our charge. Furthermore, RoS are developing digital capabilities to support future completions during the current lockdown.
In Northern Ireland, from Thursday 23 April cases can now proceed to completion. Santander has instructed LMS/ENACT to contact their Northern Ireland law firms to arrange for them to contact their clients where we have recently returned funds to rearrange completion as soon as possible.
Please note that to date, England & Wales Land Registry are operating as normal.
They can view their mortgage using Online and Mobile Banking.
Sign up online
If they have a Santander current account, savings account or credit card as well as their mortgage, they can sign up using their account details.
If they only have a Santander mortgage, they can sign up here. They'll need their mortgage account number which they can find on their annual statement or on any letter from us about their mortgage.
Sign up by phone
They can call our team on 0800 783 9738 and have their mortgage details to hand.