Newcastle for Intermediaries has unveiled a more flexible approach to product transfers, allowing brokers to help clients lock into new mortgage deals up to three months early — and without triggering any early repayment charges.

The lender’s revised offering is aimed at borrowers with fixed rate products maturing in the latter half of 2025, particularly those who secured two-year deals during the peak of interest rate volatility. With fixed rates now easing slightly, many of these borrowers stand to benefit by switching early to a more competitive rate.

Under the new approach, borrowers can apply to switch products and move onto a new deal from the first of the following month, giving them a head start on potential savings.

According to the lender, a typical borrower on a two-year fixed rate could save close to £300 over a three-month period by transferring early to one of Newcastle’s current two-year products.

UNLIMITED OVERPAYMENTS

In addition to early switching, customers arranging a product transfer are also able to make unlimited ERC-free lump sum overpayments. This option allows borrowers to further reduce their outstanding balance and lower their monthly repayments before the new mortgage term begins.

Franco Di Pietro, head of intermediary mortgages at Newcastle Building Society, said: “We know many borrowers are feeling the pressure of rising living costs and historically higher rates.

“By giving brokers the tools to switch clients early and flexibly, we’re making it easier for them to deliver immediate savings and long-term value.

“It’s an opportunity to offer meaningful value to clients navigating a volatile rate environment, while also earning their procuration fee sooner.”