Loughborough – UK Mortgage Lenders

A group of businessmen established The Loughborough in 1867. Their aim was the benefit of the community. For 66 years the Society was run by the Cattell family from a Coal Merchants office. Since this humble beginnings, the Society has grown steadily, but has always remained very much part of the local community. Today, the Society has over £200 million in total assets, and continues its vision to being the number 1 provider of mortgages and savings for the East Midlands.

The Loughborough remains committed to being a mutual organisation. It believes that remaining so, without the additional cost of external shareholders, is the best way to ensure the Society continues to grow and prosper. The Loughborough aims to offer good value mortgages.

The Loughborough has a range of mortgage products:

Fixed Rate
Discounted
Flexible
Standard Variable
Commercial

Fixed Rate: the mortgage rate is set at a fixed interest rate for the first 3 years. The mortgage then converts to the Society’s standard variable rate. Overpayments are allowed during the fixed rate period, however, if you want to repay the full loan an early repayment charge may apply. Other features include:

If you want to re-mortgage at any stage the Society will pay for your legal fees
A higher lending charge may apply if you are borrowing more than 90% of the property

Discounted: the Loughborough have two types of discounted mortgages, a 2 year and a 3 year discount. The discount is set off the standard variable rate for the agreed amount of time (depending on which product you choose).Then the rate will be set at the Society’s standard variable rate.

Overpayments are allowed during the discounted rate period but an early repayment charge may apply if you want to repay the full loan. Other features include:

If you want to re-mortgage at any stage the Society will pay for your legal fees
A higher lending charge may apply if you are borrowing more than 90% of the property

Flexible: this product is called the Flexi-Life Discount. The mortgage is set at the Society’s standard variable rate less a discount for the entire mortgage term. If the loan is repaid in full within the first 12 months then an early repayment charge may apply. Overpayments are allowed however. Other features include:

If you want to re-mortgage at any stage the Society will pay for your legal fees
A higher lending charge may apply if you are borrowing more than 90% of the property

Standard Variable rate: your rate is at the Society’s standard variable rate for the entire term of the mortgage. If the loan is repaid in full within the first 12 months then an early repayment charge may apply.

Commercial Mortgages: these are available to both companies as well as individuals. The maximum loan is 75% of the property’s value. The Loughborough offers Interest only mortgages and Repayment mortgages. The rate is set depending on how the money will be repaid and how long the mortgage term is.

Buy to Let: your rate is just above the Society’s standard variable rate for the whole term of the mortgage. If the mortgage is repaid in full within the first 5 years then an early repayment charge may apply. The maximum loan is 75% of the property being purchased.

An arrangement fee is applicable
The mortgage can be in the form of an Interest only or Repayment mortgage

Discount Buy to Let: this mortgage is set at a discount off the Society’s standard variable mortgage rate for the first 2 years. After the 2 year period the rate will convert to the Society’s prevailing standard variable mortgage interest rate. If the loan is repaid in full within the first 2 years then an early repayment charge will apply. The maximum loan is 75% of the property value.

If you want to re-mortgage at any stage the Society will pay for your legal fees