Got some spare cash? Paying extra towards your mortgage could save you money in interest payments
If you've got a Lloyds Bank savings or personal current account, you can set up an overpayment quickly and securely in Internet Banking.
Not registered for Internet Banking? Register now, it only takes a few minutes.
If you don't bank with us, you can still use our Overpayment Calculator to get a rough idea of how much you might save in interest charges.
We offer different types of mortgages with different rates. With some of our mortgages, there may be a charge if you repay all or part of your mortgage within a certain period of time. We call these 'Early Repayment Charges' (ERCs).
Your offer letter gives details of any ERCs that apply to you. If an ERC is payable, we will deduct it from your overpayment.
If an ERC doesn’t apply, you can overpay as much as you like without being charged, as long as you don't pay off your mortgage in full. You can check which type of mortgage you have within Internet Banking or our Mobile Banking app.
If an ERC applies, at the moment we allow you to overpay up to 10% of the amount you owed at the 1st January within that calendar year, without having to pay the ERC.
For example, if your mortgage balance was £100,000 on the 1st January, you could overpay up to £10,000 (i.e. 10% of £100,000) that year without being charged any fees.
If the total amount you overpay during the year goes above 10%, we’ll only charge you an ERC on the amount you overpay above 10%.
If you have taken a Covid-19 related payment holiday and are making an overpayment to get back on track, as a special concession you won’t have to pay an Early Repayment Charge and it won’t count towards our 10% early repayment charge concession.
If you have a Lloyds Bank account, you can make a payment to your mortgage simply and securely in Internet Banking or our Mobile Banking app.
If you don't bank with us please see our how to make a lump sum overpayment section.
You can target your overpayments to specific sub-accounts in Internet Banking or on our Mobile Banking app.
If you don't ask us to send your overpayment to a specific sub-account, we will split it across your mortgage in the same way as your normal monthly payment.
Keep in mind that some mortgages have an Early Repayment Charge if you overpay more than 10% of your balance in a calendar year.
You can check your sub-accounts on our Mobile Banking app, in Internet Banking or on your annual statement.