Redemption Terms

Early Repayment Terms

If the mortgage is repaid within the early repayment period an early repayment charge will be payable. 5% of the amount redeemed will be repayable during the fixed rate period, thereafter, interest will be payable until the end of the month of redemption.

Moving Home Early Repayment Charge Refund

If the mortgage is repaid in full, including any early repayment charge payable, in the second or third year following its completion then Kensington will repay the early repayment charge provided that at the same time as the repayment of the mortgage we make to the borrower(s) a new mortgage over a new property of an amount equal or greater to the mortgage repaid.

If the amount of the new mortgage is less than the amount of the mortgage repaid then we will refund the early repayment charge in the same proportion as the new mortgage is to the repaid mortgage.

Please note:

• Any early repayment charge will be refunded within 14 days of our advisors informing us that the new advance over the new property has been completed.
• The borrower(s) should apply for the new advance over the new property as soon as possible. We are not obliged to make a new advance and our decision will be subject to our product and underwriting criteria at that time as well as a satisfactory mortgage valuation and confirmation from our advisors that the borrower's title is adequate in respect of the new property together with our terms and conditions.
• Normal procuration fees will be reduced by 50% in respect of new mortgages where a moving home early repayment charge refund is claimed on a repaid mortgage. The Moving Home Early Repayment Charge Refund clause does not apply to Buy to Let products.

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