TML Fixed Rate Ending? Product Transfer or Remortgage

If your mortgage with The Mortgage Lender (TML) is approaching the end of its fixed rate, you generally have two decisions: stay with TML on a new product or investigate remortgaging elsewhere. Doing nothing could mean moving onto the lender's reversion rate, so give yourself time to compare costs before the change.

TML's product-transfer process has specific eligibility rules and an important monthly deadline. Here's how to navigate it, particularly if your income or circumstances have changed since you first took out the mortgage.

What happens when a TML fixed rate ends?

Your mortgage does not finish when the introductory rate ends. Unless you arrange another suitable product, the mortgage normally continues on the reversion interest rate described in your offer or mortgage documents. The payment may rise or fall depending on the rate and your mortgage type.

Check your rate-end date, current balance, repayment basis, outstanding term and any early repayment charge. Then compare the total cost of a new deal, not just the headline percentage.

Option 1: Stay with TML through a product transfer

A TML product transfer means selecting an available new rate while keeping the existing lender. It can be quicker and involve less paperwork than a full remortgage. TML's intermediary guidance says eligible customers normally must be up to date with payments and must not have missed a payment in the previous 12 months.

TML also says an eligible product transfer cannot be used to make fundamental changes such as increasing the balance, moving home or adding/removing borrowers, and mortgage term changes are not accepted in the product-transfer process.

The lender uses an index-linked valuation to determine loan-to-value for product-transfer pricing. The current product range and eligibility should always be checked by an adviser at the time. See our TML product transfer service.

Option 2: Remortgage to another lender

A remortgage might be preferable if a different lender offers a better overall deal, you need additional borrowing or your existing mortgage arrangement no longer fits your plans. It usually involves a new underwriting assessment and can bring legal, valuation or product costs.

For borrowers who originally used a specialist lender due to credit, income or property complexity, other lenders may now be available — but that is not automatic. Check your current income, credit commitments, mortgage balance and property details before assuming a switch will work.

Compare the mortgage cost over the relevant deal period, including fees, cashback, any early repayment charge and the cost of time spent on a reversion rate. Our remortgage advice page explains the process.

TML's 19th-of-the-month deadline

According to TML's published intermediary FAQs, a product transfer needs to be completed by close of business on the 19th of a month for the new rate and payment to take effect on the 1st of the following month. If completed after that cut-off, it will not be processed in time for that next 1st.

This makes it important to act before your deal ends rather than waiting until the last few days. Ask your adviser to confirm the current operational deadlines and the actual date your existing product ends. TML's help pages for existing customers provide lender guidance.

When can you arrange a new TML rate?

Availability windows vary by lender and product, and processes can change. Rather than assuming you can always reserve a new rate six months ahead, ask your adviser to confirm when you become eligible and whether there are any restrictions or charges on selecting or later changing an offer.

TML states that once a product-transfer offer has been accepted it is locked in and cancellation or changes may incur an early repayment charge. Make sure you understand this before accepting a product.

What if your income or credit position has changed?

A straightforward eligible product transfer may require less supporting documentation than a new mortgage application. TML's published guidance says eligible product-transfer clients do not need supporting documents. However, eligibility rules still apply and product terms must be checked.

That can be especially helpful if you are self-employed, your earnings now vary, or your circumstances have changed. A full remortgage to another lender will usually require a new affordability and credit assessment.

Does this also apply to TML buy-to-let borrowers?

TML provides product-transfer information for buy-to-let customers as well. The appropriate options depend on your mortgage account and current eligibility. Landlords should also review rental income, portfolio plans, ownership structure and potential fees if comparing a remortgage.

If you are an investor, our buy-to-let mortgage advice and limited company mortgage guide may help identify the wider choices.

Checklist: what to have ready

• Your mortgage account details, product end date and latest statement.

• Current interest rate, mortgage balance, repayment type and outstanding term.

• Any early repayment charges and fees attached to the existing or proposed deal.

• Details of any proposed extra borrowing, borrower changes or planned sale.

• An estimate of the property's current value and your future plans.

• Time for your adviser to compare product-transfer and remortgage costs before the monthly cut-off.

Frequently asked questions

Can I switch while on TML's reversion rate? Potentially, subject to current product availability and eligibility. Ask for an up-to-date quote.

Can I increase my borrowing on a standard TML product transfer? TML's published guidance says no fundamental changes, including increasing the mortgage balance, are permitted in that process.

Do I need a new valuation? TML says it uses an HPI-linked valuation when calculating the product-transfer loan-to-value.

What if I have missed a mortgage payment? TML's published product-transfer criteria include no missed payment in the preceding 12 months. Speak to an adviser rather than assume acceptance.

Should I just choose the lowest interest rate? Not necessarily. Compare total costs, product fees, any penalties and how long you plan to keep the mortgage.

Get your TML options compared

Drummonds Finance Group helps existing TML customers throughout the UK understand their product-transfer options and compare a potential remortgage. Start with our TML product transfer page or contact us. You can also call 0330 133 0034. Any broker fee applicable to your case will be explained before you proceed.

Your home may be repossessed if you do not keep up repayments on your mortgage. Some buy-to-let mortgages are not regulated by the Financial Conduct Authority.