What is an offset mortgage?

An offset mortgage is a way of linking your mortgage with your savings to reduce the amount of interest you pay. 

Instead of earning interest, your savings offset some of the amount you have borrowed on your mortgage. This reduces the amount of interest you’re charged on your mortgage. 

Watch our video and learn about offset mortgages in one minute.

How to get an offset mortgage

Number 1

Get a Decision in Principle (DIP)

Get a Decision in Principle (DIP) to find out how much you could borrow. Choose how to get a DIP below.

You may need a DIP to make an offer on a home.  
Number 2

Apply for a mortgage

Complete a full application online or over the phone. 

If you have less than 10% deposit, you'll need to apply over the phone. 
Number 3

Get your mortgage offer

We'll value your home and check your credit history. Then we'll be in touch within 15 working days.
Number 4


Once the legal work is complete, you’ll exchange contracts if you’re moving home. Or you’ll move to your new mortgage deal if you’re switching.

Get the right advice

Offset mortgages can be complicated. Make sure you fully understand your mortgage deal.

Linking your savings to your mortgage will reduce the interest you pay. 

But, while your savings are linked they will not earn any interest. So, you may not always save money. You could also end up paying more if you take your savings out.

If you need help understanding offset mortgages, please apply over the phone. Our friendly mortgage specialists will be happy to chat about your options.

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Get a Decision in Principle

Apply online

Instant decision
Valid for 30 days
Doesn't affect your credit score
Find out if you can apply online and start our 10 minute application.

Speak to an expert

Talk to our mortgage specialists.
9am to 5pm Monday to Friday
9am to 1pm Saturday
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More about offset mortgages

Find more about offset mortgages in our helpful guide, including:
How does an offset mortgage work?
Pros and cons of offset mortgages.
What are your offset mortgage options?

Offset Plus

Offset Plus lets family and friends link their savings to your offset mortgage. This may help you reduce the cost of your mortgage.

Offset Plus for mortgage holders
Link up to two Offset Plus savings accounts to your offset mortgage.

Find out more about How Offset Plus works for mortgage holders.

Offset Plus for savers
Family or friends can link an Offset Plus Savings account to your mortgage. 

Find out more about Offset Plus for Savers.

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FSCS logo

Financial Services Compensation Scheme

Deposits in the savings element of your Offset mortgage are covered by the Financial Services Compensation Scheme (FSCS). The FSCS will cover up to £85,000 of the deposits held with the Yorkshire Building Society, Chelsea Building Society, Norwich & Peterborough Building, Society and Egg. 

More about the Financial Services Compensation Scheme.
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Chat to our mortgage specialists about your options.
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