Products

Commercial Offset Mortgage

Our Commercial Offset Mortgage enables you to make effective use of your business credit balances by offsetting them against your mortgage.

How Does it Work?

By linking your mortgage to a Norwich and Peterborough offset savings account and/or offset business banking account, your savings balances with the Society will be used to "reduce" the mortgage balance on which you are being charged interest each month. The advantage of this is that you could repay the offset portion of your mortgage earlier and potentially save thousands. No interest will be paid on the credit balances of the offset savings account or the offset business banking account.

You'll receive a statement every quarter so you can see the difference a Commercial Offset Mortgage is making.

How Much Can I offset?

Your business credit balances can be used to offset up to 30% of the total loan approved. To achieve this there will be two mortgage accounts of which one will be for 30% of the total with a full offset facility and a second for the remaining 70% of the total which will not have an offset facility.

No interest will be paid on credit balances in the offset savings account and/or the offset banking account even if they exceed 30% of the total loan facility. Business customers will be advised if their credit balances exceed this amount so that alternative arrangements can be made.

Who can take out a Commercial Offset Mortgage?

The Commercial Offset Mortgage is available to all commercial borrowers as long as they meet our standard commercial criteria.

Can I use the Offset Business Gold Account as a normal business banking account?

The choice is yours. You don't have to use this facility for your day to day banking, but if you do we will review your needs individually.

If the account has a debit balance then the normal overdraft fees and charges will apply.

Submit a commercial mortgage enquiry.

Can I use the Offset Business Savings Account as a normal savings account?

You will have access to your funds without notice and deposits can be made as normal.

Instead of earning interest, the balance will be used to offset against the mortgage thus "reducing" the mortgage balance on which interest is being charged. Where the credit balance exceeds the offset mortgage balance, no interest will be paid on the excess amount. We will contact you to offer advice on other more suitable arrangements.

Submit an enquiry for one of our commercial mortgage products.