More information about our tracker mortgages

About the type of mortgage

This mortgage will be repaid on a capital and interest repayment basis. The monthly payments are made up of a portion of the capital amount borrowed, as well as the interest charged for the month on the mortgage. This means that the outstanding balance is reduced each month in line with your mortgage term. This ensures that your mortgage will be fully paid off at the end of the mortgage term, providing you make all the required payments on time.

About the rate

With our tracker rate mortgages, the interest rate is set at an agreed percentage above the Bank of England base rate. The interest rate will therefore rise and fall in line with changes to the Bank of England base rate, which will affect your monthly repayments. However, the interest rate payable will never fall below 0%. This means that, no matter how far the Bank of England base rate may be reduced, the interest rate for our tracker rate mortgages will never be a negative figure.

At the end of the tracker rate period, you will automatically move onto the M&S Bank Standard Variable Rate. You can then either choose to stay on this rate, select another product from the M&S Bank product range available at that time or look to remortgage.

What is the maximum I could borrow?

If you are looking to remortgage or move home, you could borrow up to £1 million, subject to loan-to-value (LTV) ratios (maximum £400,000 above 80% LTV). For First Time Buyer mortgages the maximum loan amount is £400,000. All mortgages are subject to our lending criteria.

How long are the available mortgage terms?

Our mortgage terms are between 5 and 35 years for first time buyers and home movers and between 5 and 30 years for remortgages, depending on your circumstances.

Can I move home during the initial period?

Provided you have had your mortgage with us for at least six months, you may be able to transfer it from one property to another if you move home. This will be subject to a full financial assessment being carried out and the new property meeting our lending criteria at that time. 

Can I make overpayments?

Yes, you can make unlimited overpayments without incurring any early repayment charges.

Can I pay off the mortgage early?

You are free to repay your mortgage early and you will not incur any early repayment charges whilst within the tracker rate period.

Will I incur an exit fee?

No, we do not charge an exit fee.

How is interest calculated?

Interest is accrued on a daily basis but is charged to the mortgage account monthly, in advance, on the 1st of each month, and is calculated by using the mortgage debt at the end of the last day of the previous month.

This information does not contain all of the details you need, so remember to read your ‘European Standardised Information Sheet’ (ESIS) before choosing a mortgage. For information on M&S Bank Mortgages and ESIS documents, contact us on 0800 923 1536. Lines are open 8am-8pm Monday to Friday, 9am-1pm Saturday (excluding bank holidays). Calls are recorded.

Go back to the mortgage list

Your home may be repossessed if you do not keep up repayments on your mortgage