Mortgage Rate - Information for Principality Members

On 2 August 2018 the Bank of England announced that the Bank Rate would increase from 0.50% to 0.75%. We are currently working through what this means for our Members. In the meantime you’ll find some useful information below but you can also visit your local branch for more information.

What is the Bank of England Bank Rate?

The Bank of England sets an interest rate ('Bank Rate', also known as 'Base Rate') at which it lends to financial institutions. This interest rate then affects the range of interest rates that are set by banks, building societies and other institutions for their own savers and borrowers.

What happens to my mortgage payments, if the Bank of England Bank Rate goes up?

If you are on a Fixed Rate Mortgage, Discounted Rate Mortgage or a mortgage where the interest rate is our Standard Variable Rate (SVR), you will not be directly impacted by a change in the Bank of England Bank Rate; however we may review and alter our SVR as a result of this change.

If you are on a Tracker Rate Mortgage, your interest rate is variable and it 'tracks', or is linked to, the Bank of England Bank Rate until the end of the promotional term of the product. This means that any changes to the Bank of England Bank Rate will have an effect on your rate, and subsequently on your monthly payments which could go up. At the end of your promotional term your mortgage interest rate will then change to our SVR, providing you haven't switched to another mortgage product.

How will a change in your Standard Variable Rate (SVR) impact me?

You should find this information on your last mortgage statement from us. Alternatively, please visit one of our branches, call Connect on 0330 333 4000 (lines are open Monday to Friday 8am to 8pm and Saturday 9am to 1pm), or register for Your Account.

How will I know if my mortgage account interest rate is changing?

If your mortgage account interest rate is changing and it impacts your monthly repayment, we will write to you 10 working days before the change takes effect.  You can also register for Your Account, to keep track of your interest rate, not just for mortgages but savings too.

How will I know if my savings account interest rate is changing?

If you’ve received a letter about your mortgage repayments and have a question, or you would like information about our savings rates, please get in touch by visiting your local branch, or by calling us on 0330 333 4000 (lines are open Monday to Friday 8am to 8pm and Saturday 9am to 1pm).

You can also log in to (or sign up for) Your Account, to keep track of your interest rates.

Will you be contacting Members about the changes?

As the above savings rates are going up, we will not be writing to Members (this is in line with our savings terms and conditions), instead these changes will be advertised in branch, on our website and in the press.

If your mortgage interest rate is changing and it impacts your monthly repayment, we’ll write to you at least 10 working days before the change takes effect, starting from the 11th December. 

What if I need more information?

If you need more information about savings rates, or if you’ve received a letter about your mortgage repayments and have a question, then you can get in touch by visiting your local branch, or by calling us on 0330 333 4000 (lines are open Monday to Friday 8am to 8pm and Saturday 9am to 1pm).

You can also log into (or sign up for) Your Account to keep track of your interest rates.

  • 6ed cymdeithas adeiladu fwyaf y DU
  • Cymdeithas adeiladu gydfuddiannol, sy’n eiddo i’n 500,000 o aelodau ac yn cael ei rhedeg er eu lles
  • Dros 150 mlynedd o brofiad
  • Gofalu am werth dros £8 biliwn o asedau ein cwsmeriaid
  • Gall Aelodau fynd at dudalen Gworau Aelodau sy’n cynnwys cystadlaethau, gostyngiadau a mwy.

Principality. Lle mae cartref yn bwysig.