Rate switch

Your client can change their mortgage term or repayment method, such as changing from interest only to repayment, on Nationwide.co.uk or by calling 0345 730 20 10.

These changes are handled separately from the rate switch process. The change and the rate switch can be completed in any order, depending on you and your client's preference.

If your client has less time remaining on their term than the length of the chosen switcher product, they'll either need to select a product that doesn't exceed their term or complete a term extension.

Your client won’t have to pay an ERC if:

• They're switching a tracker product to a fixed rate product.
• The product is being reserved within three months of the end of the clients existing product term.

If your client has a fixed or tracker product with an ERC, you can apply for the rate switch up to four months ahead of the current product end date. But the earliest the switch can take place is the first month of the three months ERC free period at the end of their current deal. NFI Online will show an ERC expiry date that matches the current product end date.

Some common issues when switching with NFI Online:

• If NFI Online doesn't recognise your client’s details, double check they are correct before contacting us on Broker Chat for support.
• Ensure sure you've chosen a switcher product using our product finder.
• If the product LTV is not what you expected, this could be due to the automated property valuation.
• We can only process one rate switch at a time, so cancel any existing rate switch applications before trying to submit another. 
• If your client has an overpayment reserve, see our payments page for more information.
• When you complete the application, you'll be offered a maximum of four start dates for the new product. The earliest start date will be at the beginning of the three months ERC free waiver period at the end of your client’s current deal. If your client’s preferred start date isn't showing, you may need to cancel and create a new case in the next calendar month.
• When you've chosen the product and start date, remember to scroll to the bottom of the final page and click 'Submit'. This will ensure the rate switch is submitted and will start on the chosen date. 

Download our step by step rate switch keying guide (PDF, 491KB) for more information.

There is no valuation fee, but there may be a fee on the product your client chooses. Your client can pay this when the switch is submitted or add it to their loan.

There are no legal fees payable to Nationwide for rate switch applications.

Once the switch completes, it can’t be cancelled. Fees are non-refundable at this point. 

If you cancel your switch before it completes, we will refund the fees.

If your client adds the fee to their loan, it will be added to the account once the case uploads. This may mean that it changes their account balance before the switch takes place. Interest is charged from January 1st the following year.

If your client does not want to use their existing direct debit details for paying the fees, they can provide us with new details by calling 0345 730 20 10.

You can switch up to four eligible accounts on NFI Online. Our rate switch keying guide (PDF, 491KB) shows the details.

The 'Rate Switch Loan Selection' page will show you the loans that are eligible to switch. If you select the same product for multiple accounts with the same switch start date, your client will only pay the product fee once, if applicable. You will see details of this in the offer.

If your client has multiple accounts with different product end dates, we will show the available switch start dates based on the latest product expiry. The dates are from the first month of the three months ERC free waiver period at the end of their current deal.

It’s not possible to complete a rate switch at the same time as a porting application. You'll need to have completed one process before starting the other.

Porting before a rate switch

If you've completed a porting application on your client’s mortgage before starting a rate switch application, your client will need to have made their first monthly payment following the port before you can submit the rate switch. This can either be a direct debit or a manual payment in the month after completion.

Your client will have to pay any relevant ERCs on a declined application, or a sale that has fallen through, if the switch goes past the last cancellation date or goes live.

Rate switch before porting

Where your client wants to switch one or more parts of their mortgage before a porting application, the new rate won't appear on the porting offer until the rate switch has gone live. Your client does not need to make a payment before you start the porting application.

You can create a new case for your client without any ERCs if they complete within the last three months of their current deal.

See our Porting page for more information.

You can complete our template to send us an email with all the detail we need.

If you can’t use the template, email esupport@nationwide.co.uk:

• Use the subject line 'Rate switch cancellation request'
• Copy and paste the headings below into the body of the email exactly as they are formatted here, with the details of your request after the colons. Do not send these in an attachment, as our system will not be able to read it.

Broker Full Name:
Broker Email Address:
Case number (beginning with M):
Mortgage Account Number:
Applicant Name(s):
Rate Switch Start Date (dd/mm/yyyy):
Reserved Product Code or Product Details:

Whether you use the template or email, avoid using any special characters or symbols.

Submit only one cancellation request at a time. Multiple cancellation requests on one form may not be processed.

You must provide all the information that’s requested. If any information is incomplete or incorrect, we'll be unable to process the cancellation. 

If your client paid the product fee when the offer was submitted, we’ll return the fees. It can be up to a total of 14 days for your client to receive their refund.

If the product fee has been added to the loan, no payment will have been taken. The fee and any additional interest charged will be removed from their loan amount. It may take up to 72 hours after the case shows as cancelled in NFI to show against your client’s account.

Once you let us know you intend to cancel and resubmit a rate switch, we’ll honour the rates available at the time the cancellation is processed.

We carry out an automated valuation to provide a current property value. This is used to determine the LTV and which products your clients are eligible for. To confirm the valuation figure we currently hold for the property, speak to our NFI Online technical support team on Broker Chat.

If the valuation figure is lower than you expect, you can appeal by submitting a rate switch valuation appeal form (PDF, 65.4KB).

You will need to submit a paper application for a rate switch if:

• There are more than two applicants on the existing mortgage
• Your client is switching more than four accounts
• Your client is serving in the Armed Forces or works for the FCO or UN with a British Forces Post Office (BFPO) address and their property is currently let
• You want to complete a porting application and then apply for a scheduled rate switch product that hasn't gone live yet. The porting application must be paper based, and the future dated switch must start on the 1st of the following month. For example, if the switch date is 1 December, the earliest date you can submit the porting application is 1 November.

To request a manual offer for an exception, complete the rate switch application form (PDF, 224KB) and follow the instructions on the form to submit it.

You will then need to complete our rate switch offer acceptance form (PDF, 61.9KB) to confirm that your client has accepted the offer, after we have processed the application.