Overpayments and allowances

A mortgage overpayment means paying a bit extra on top of your usual monthly payment.
This can be a regular overpayment made monthly, or a one-off overpayment as a lump sum.

What's on this page?


Before making an overpayment

Overpayment allowance

Most mortgage providers let you overpay a percentage of your outstanding balance each year. This is your overpayment allowance. You can overpay any amount at any time by regular overpayment or a one-off overpayment but you will need to pay an early repayment charge (ERC) if you go over your allowance in a given year.

For example, you might have a mortgage of £100,000 with a yearly overpayment allowance of £10,000. This means you can overpay as many times as you like within a year, however, if your total overpayments for the year are more than £10,000, you will need to pay an early repayment charge.

Overpaying by too much on some mortgages can be costly. Other mortgages have no ERCs or overpayment allowances at all. Check the details of your mortgage to learn about your allowances and ERCs. If your mortgage is made up of more than one part you should check each part as the allowances may be different.

Overpayment period

Overpayment allowances are usually set for 12 months at a time. You can’t usually carry over any unused allowance to a following year.

You can often pay up to your full allowance without charges one year and then do the same again the following year.
If you have more than one part to your mortgage deal, the 12 month overpayment allowance period may be different for each part.

This is important if you’re planning monthly overpayments. It’s a good idea to talk to us about when any part’s allowance will end as you may get early repayment charges without planning around your overpayment periods.

The effect on your mortgage

You may be able to use your overpayment in a few different beneficial ways:
You can reduce the amount you owe so you'll pay less interest.
You could pay off your mortgage sooner.
You can save towards a ‘payment holiday’. This can help if your financial circumstances change.
Our overpayment calculator can illustrate the impact and potential benefits of overpaying your mortgage.


How to make an overpayment

Method One-off overpayment

If you’re a YBS customer, you can log in to your account to get all the details you need to make a one-off overpayment through your bank.

Payments from another bank or building society

To make a payment from another bank or building society, here are the details you'll need:

Our Sort Code: 60 92 04
Account number: the first eight digits of your mortgage account number
Reference or roll number: all 10 digits of your mortgage account number
Payee name: your full name, as it appears on your mortgage account or statement

Over the phone

You can use our 24/7 automated telephone service to make an overpayment by debit card. Please have your account number or customer number to hand.

0345 1200 100

9am to 5pm  Monday  to  Friday 
9am to 1pm  Saturday

Calls to 03 numbers are charged at the same rate as 01 or 02 numbers from all phones.

In branch

You can make an overpayment by cash or cheque at your local branch. Use our Branch Finder to find your nearest one.

Method Regular overpayment

If you’re a YBS customer, you can log in to your account to send a secure message to change how much you pay, you may also be asked to call our Customer Contact Centre to confirm your overpayment.


If you don't manage your account online, please call our Customer Contact Centre.

0345 1200 100

9am to 5pm  Monday  to  Friday 
9am to 1pm  Saturday

Calls to 03 numbers are charged at the same rate as 01 or 02 numbers from all phones.

Regular overpayments will continue every month until you tell us to stop or change it. We’ll need at least 3 working days before your payment is due to set up or change a direct debit.


Important information

To change your monthly payment, you will need to request a recalculation. This will let you pay off your mortgage sooner or reduce the monthly payments on your mortgage. To request a recalculation, you can call us.
When you make an overpayment on your mortgage, we pay each part proportionally. If you're making a regular or one-off overpayment and want it to go to a specific part of your mortgage, get in touch to let us know which part you'd like to add the overpayment to.
To amend or cancel an overpayment you've made to a YBS mortgage, call us and we’ll be able to help you.
Your overpayment isn't confirmed immediately after you make it. It takes five working days to update your remaining mortgage balance and allowances. If you're concerned your payment failed, call our contact centre for up-to-date information.
A payment holiday is a break or reduction of mortgage payments. Many people use a payment holiday when their financial situation changes and they need more money or time to keep up with repayments. However, it’s important to remember that payment holidays can affect your financial record and do not prevent the accumulation of interest, so they need to be carefully planned.

You can only have payment holiday by overpaying first. You will need to speak to us and agree the holiday before you take a payment break or reduction. This may allow you to have a payment holiday without extending length of your mortgage.
Need more help
Get advice and overpay on the phone with our mortgage specialists.
9am to 5pm Monday to Friday
9am to 1pm Saturday
Calls to 03 numbers are charged at the same rate as 01 or 02 numbers from all phones.