Product Switch
If your current deal has ended or you are in the last 6 months of your current deal and you have no arrears, we've made it easy to switch to a new deal online.
Switching your mortgage product with us is quick and easy. If your current fixed or discounted variable rate has already expired or is due to expire within the next 6 months, and you meet our eligibility criteria, you can request a product switch.
Who can switch online?
• You are in the last six months of your current deal.
• Or your initial deal has ended and you are on a variable rate.
• Your account has no mortgage arrears.
• To review all of the eligibility criteria
please see our FAQ Section
How would you like to switch your mortgage?
If you’d like to receive advice as to the best option for you we recommend speaking to a mortgage advisor who are also able to request a product switch with us on your behalf. You can learn more here. Alternatively if you’re happy to request a new deal yourself visit our Product Switch portal
Please phone us first if...
• You are currently in financial difficulty or recently had a change in circumstance that is impacting your ability to pay.
• You want to make an overpayment (you will need to do so before product switching).
• If
you want to make other changes to your mortgage (i.e. change term, repayment method, etc).
If your current deal has ended or you are in the last 6 months of your current deal and you have no arrears, we've made it easy to switch to a new deal online.
Your product switch journey in 5 simple steps
Ready to start your switch or continue an ongoing application? Your product switch with us happens in 5 simple steps.
Thinking of switching?
If your current deal is coming to an end, here are a few things you may want to consider when you're choosing a new deal.
Your monthly repayments
You may want to consider how important it is for you that your monthly payments remain the same for an agreed period of time. If your current deal is coming to an end or your deal has already ended and you are on a variable rate, switching to a new deal will fix your monthly payments.
Your circumstances
You may want to consider how the rise or fall of interest rates would impact your monthly finances. Do you foresee any changes or events in the next 2 or 5 years which may impact your financial circumstances?
How would you like to switch your mortgage?
There are two options available when switching your product, but regardless of which service you use our range of products available will be the same.
Option 1: Mortgage advisor
If you're unsure which kind of mortgage product is best for you, we recommend speaking to a mortgage advisor. They'll recommend a suitable mortgage based on your needs and circumstances.
Find an advisor unbiased.co.uk ➜
Option 2: Non-Advised
If you're happy to request a new deal yourself, switching your mortgage can be done using our online Product Switch portal. This is the execution only service.
Switch online ➜
Good to know
• Our rates change from time to time, and may change at very short notice.
• You are welcome to generate an offer and take your time to think about what you want to do, but once you accept an offer the rate cannot be changed. (So please don’t accept an offer unless you definitely want to go ahead, because we can not cancel or change your deal once you accept the offer).
• An offer will automatically expire after 14 days if you do not accept it. You then need to start again.
• It takes us 10 working days to make the arrangements to switch your mortgage to the new fixed rate deal, and all of our rates start on the 1st of the month. Don’t leave it to the last minute, as you may then spend more time on a higher variable rate.
Our Product Switch Rates
Here you can browse our range of straightforward Residential and Buy to Let products currently available for Product Switches. These rates are subject to change without notice.
Residential
Standard
| Product | Initial Rate | Product Fee | Redemption Fees |
|---|---|---|---|
| 2 year fixed | 6.84% | £795 | 4% / 3% |
| 2 year fixed, fee free | 7.29% | £0 | 4% / 3% |
| 5 year fixed | 6.34% | £795 | 5% / 5% / 4% / 3% / 2% |
| 5 year fixed, fee free | 6.49% | £0 | 5% / 5% / 4% / 3% / 2% |
Help to Buy
| Product | Initial Rate | Product Fee | Redemption Fees |
|---|---|---|---|
| 2 year fixed | 7.04% | £795 | 4% / 3% |
| 2 year fixed, fee free | 7.49% | £0 | 4% / 3% |
| 5 year fixed | 6.54% | £795 | 5% / 5% / 4% / 3% / 2% |
| 5 year fixed, fee free | 6.69% | £0 | 5% / 5% / 4% / 3% / 2% |
Right to Buy
| Product | Initial Rate | Product Fee | Redemption Fees |
|---|---|---|---|
| 2 year fixed | 6.89% | £795 | 4% / 3% |
| 5 year fixed | 6.44% | £795 | 5% / 5% / 4% / 3% / 2% |
Vida Variable Rate (VVR)
7.05% set on 01.09.2024
Revert Rate
9.69% (VVR + 2.64%)
What is Revert Rate?
The revert rate is the variable interest rate your customer will move on to when their fixed rate period on their mortgage ends should they decide not to refix their loan with Vida or another lender. The revert rate is charged at a margin above the Vida Variable Rate which tends to move up down closely in line with the movement in the Bank of England Base Rate.
Product Fee
This is the fee for arranging the mortgage. It is typically added to the loan although their is an option to pay it upfront. If paying upfront, we can accept payment via a UK debit/credit card before the offer is accepted. Where a product fee is a percentage of the loan this is calculated based on the mortgage balance at the time the illustration and offer are produced. Monthly interest is added to the account at the beginning of the month and therefore if you produce the offer before you have made your monthly payment the product fee may be higher.
Redemption Fee
This is the fee to pay Vida if all or part of the mortgage is repayed earlier than the end of the agreed fixed rate term. This may also be payable if your customer moves house and is not able to take the mortgage to the new property, or if they remortgage during the initial rate period of the mortgage. A redemption fee is typically expressed as a percentage of the loan amount so if a mortgage has a redemption fee of 2% of the mortgage balance, on a £100,000 mortgage that would equate to a fee of £2,000. Overpayments can be made of up to 10% In any rolling 12 month period without any charge being made.
Buy to Let
Standard
| Product | Initial Rate | Product Fee | Redemption Fees |
|---|---|---|---|
| 2 year fixed | 6.39% | 1.75% | 4% / 3% |
| 2 year fixed, fee free | 7.39% | 0% | 4% / 3% |
| 5 year fixed | 5.79% | 1.75% | 5% / 5% / 4% / 3% / 2% |
| 5 year fixed, fee free | 6.24% | 0% | 5% / 5% / 4% / 3% / 2% |
Houses of multiple occupancy / Multi unit blocks
| Product | Initial Rate | Product Fee | Redemption Fees |
|---|---|---|---|
| 2 year fixed | 6.49% | 1.75% | 4% / 3% |
| 2 year fixed, fee free | 7.49% | 0% | 4% / 3% |
| 5 year fixed | 5.89% | 1.75% | 5% / 5% / 4% / 3% / 2% |
| 5 year fixed, fee free | 6.34% | 0% | 5% / 5% / 4% / 3% / 2% |
Ex-pat
| Product | Initial Rate | Product Fee | Redemption Fees |
|---|---|---|---|
| 2 year fixed | 6.64% | 1.75% | 4% / 3% |
| 5 year fixed | 6.04% | 1.75% | 5% / 5% / 4% / 3% / 2% |
Vida Variable Rate (VVR)
7.05% set on 01.09.2024
Revert Rate
9.89% (VVR + 2.84%)
What is Revert Rate?
The revert rate is the variable interest rate your customer will move on to when their fixed rate period on their mortgage ends should they decide not to refix their loan with Vida or another lender. The revert rate is charged at a margin above the Vida Variable Rate which tends to move up down closely in line with the movement in the Bank of England Base Rate.
Product Fee
This is the fee for arranging the mortgage. It is typically added to the loan although their is an option to pay it upfront. If paying upfront, we can accept payment via a UK debit/credit card before the offer is accepted. Where a product fee is a percentage of the loan this is calculated based on the mortgage balance at the time the illustration and offer are produced. Monthly interest is added to the account at the beginning of the month and therefore if you produce the offer before you have made your monthly payment the product fee may be higher.
Redemption Fee
This is the fee to pay Vida if all or part of the mortgage is repayed earlier than the end of the agreed fixed rate term. This may also be payable if your customer moves house and is not able to take the mortgage to the new property, or if they remortgage during the initial rate period of the mortgage. A redemption fee is typically expressed as a percentage of the loan amount so if a mortgage has a redemption fee of 2% of the mortgage balance, on a £100,000 mortgage that would equate to a fee of £2,000. Overpayments can be made of up to 10% In any rolling 12 month period without any charge being made.
| Rates effective from 09.10.24 |
Here are the answers to some frequently asked questions from our customers about our Product Switch process.
Am I eligible for a product switch?
Assuming your current rate has already expired or is due to expire in the next 6 months you can most likely switch to a new product. These are the circumstances that would make you ineligible:
• If you are not up to date with payments (i.e., if you have any unpaid amount on your mortgage). This must be true when you accept the offer, and on the switch date.
• If your remaining mortgage term is not greater than the fixed period of your new product + 6 months. For example, you must have at least 2 years and 7 months left on your current mortgage term to be eligible for a 2 year fixed product, and at least 5 years and 7 months left on your current mortgage term to be eligible for a 5 year fixed product.
• If you have any personal insolvency proceedings.
• If your mortgage is in the name of a limited company, the limited company must not have any insolvency proceedings.
• If you are in breach of your mortgage terms and conditions. If we have capitalised any ground rent, or service charges for you, or we have given you consent to let out a residential property, these constitute a breach and disqualify you from a product switch.
• If you are subject to any possession order.
• If your current mortgage with us is a Second Charge.
• If you confirm that you are currently suffering from any form of financial difficulty.
• If you are aware of any imminent change of circumstances which might affect your ability to continue paying your mortgage.
• You must be able to confirm that you have not been subject to any bankruptcy order or individual voluntary arrangement (IVA) since taking out your mortgage with us.
How does the product switch process work?
Switching your mortgage product with us is quick and easy. It can be done in these 5 steps:
1. Account retrieval - Log into our secure switch portal at switch.vidahomeloans.co.uk and retrieve your account details by entering your account number, surname and date of birth.
2. Verification - Check and confirm your property address and contact information (we will require you to provide a valid email address as this is how we will contact you during the application). You will need to answer a couple of quick questions about your financial situation.
3. Product options - You will see any product switch options that are available to you and be able to read the detailed product illustration – essentially a guide which provides the detail for your potential new product. You will be able to select the product you want to switch to and choose whether you want to pay any fees upfront or add them to the loan. In order for us to make you a formal offer you will need to confirm that you are comfortable to proceed on an ‘Execution Only’ basis. This means that you would like to progress your application online without getting advice. If you would like to get advice, we recommend that you speak with a mortgage advisor.
If you are using a Mortgage Advisor, they will need to be firstly registered to use our product switch portal and then have your reference number in order to access your account. If you have already started the process the account will be locked to the Mortgage Advisor, and you will need to send a message on the portal to ask for your application to be cancelled.
4. Review your offer - we recommend that you take time to read this through carefully and ensure that you understand how your monthly payments and mortgage balance will change. If you are comfortable that the details on the mortgage offer are correct, and that you wish to proceed with the product switch, you can accept the offer in our portal on behalf of all those named on your mortgage.
If you select to pay the fee upfront rather than add it to your mortgage balance, you will need to pay this fee as part of your offer acceptance. The fee payment can be made securely through our portal.
5. Mortgage Offer accept - When you accept your offer, we will email confirmation of your acceptance to all those named on your mortgage. At this point we will confirm the date your product switch will complete, and we will remind you of the correspondence you can expect to receive from us.
To ensure that the offer email is not flagged as junk or spam, please add switch@teamvida.co.uk to your safe senders list. If you haven’t received your offer email from us within the hour, check your junk/spam folder, and if it is not there please contact us via the switch portal. Your enquiry will be picked up by our team who will respond within two working days.
What happens then?
Within five days of receiving your offer acceptance we will send you a letter to confirm your switch date. A second letter will be sent to you on the date of your product switch to confirm that the switch has been completed and provide confirmation of your new monthly payment and when your first payment is due.
There is a regulatory requirement to send letters to customers who have not yet completed on a product switch to remind them that the product is coming to an end and what the new interest rate will be. Until the process has been completed and you have formally switched you will continue to receive these letters. The letters confirm that if you have already switched these can be ignored.
My circumstances have changed since I took out the mortgage; does that affect my ability to switch products?
If applying direct for a product switch this is carried out on an 'execution only' basis meaning that Vida Homeloans will not provide you with advice or assess the suitability of your product choice to your individual needs and circumstances. If you require any advice or your circumstances have changed then we recommend that you speak to a mortgage advisor.
If you are having financial difficulties, please call our Customer Services department on 0344 892 0155 so that we can discuss the best way to help you.
Our lines are open 8.00 to 20.00 Monday to Friday and 9.00 to 13.00 on a Saturday
When can I product switch?
If your current fixed or variable rate has already expired or is due to expire within the next 6 months, and you meet our eligibility criteria, you can product switch.
How long is my offer valid for?
Your offer will be valid for 14 days. If you do not accept your offer before it expires you will need to restart the product switch process with the rates on offer at the time.
You can only have one mortgage offer at a time. If you click on “Change product” on the offer page the offer will be cancelled, and you will need to choose again from the rates that are currently available.
You can see our latest rates here.
When will my product switch happen?
All product switches occur on the 1st of the month. To have time to process your switch request we need to have received your offer acceptance 10 working days before the end of the month.
If an offer is accepted to switch in the final 10 days of the initial rate term, the new rate will not take effect until the 1st day of the next month + 1. You will therefore pay the variable interest rate for at least a full month before the switch rate applies.
We cannot switch your product before your current fixed or variable rate ends.
You must continue making payments in accordance with the terms of your current mortgage offer until your switch is implemented.
If you pay by direct debit your payment will automatically be amended. If you pay by alternative means you may need to take action.
What documents do I need to supply?
You do not need to supply any documents. We will not re-underwrite your mortgage, saving you time and any legal and valuation costs usually incurred if you were to remortgage with another lender.
We’ve placed some more helpful guides and information here to make your life easier.
🗎 Support With Financial Difficulties🗎 Vulnerable Customer Flyer
🗎 Guide to Complaints