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Fixed rate mortgages

2 Year Fixed Rate Mortgage

A two-year fixed rate mortgage may offer lower rates now and suit you if you don’t want to be tied in for a longer time.

3 Year Fixed Rate Mortgage

Three-year fixed rate mortgages balance a period of certainty about your monthly outgoings with an initial term that’s short enough to feel secure without being tied down.

5 Year Fixed Rate Mortgage

A five-year fixed rate can give you an even greater period of security, meaning you don’t need to review and search for a new mortgage every couple of years.

As our mortgages are portable if you move house during the term you may be able to move your mortgage too. Fees may apply.

Fixed Rate Mortgages

What is a Tesco Bank Fixed Rate Mortgage?

A fixed rate mortgage (sometimes known as a fixed mortgage) gives you the certainty of knowing your repayments will stay the same for a set period of 2, 3 or 5 years.

The rate of interest you pay is fixed for an agreed period, and so is your monthly payment, even if interest rates go up or down.

At Tesco Bank you’ll collect Clubcard points on all our mortgages.

If you're remortgaging, we'll pay your standard legal fees and your first standard valuation fee (exclusions apply).

Remortgaging is usually straightforward but if additional surveys or legal work is required, then you'll have to cover these costs yourself.


Our mortgages are flexible, so if your life changes your mortgages could too.

I want to...How it worksThings to consider off my mortgage early During the initial rate period you can overpay up to 20% each year with no early repayment charge You can make regular monthly or lump sum overpayments to pay off your mortgage early. After you make an overpayment, you can't withdraw the money you've paid. See your Mortgage Illustration for more detail.
...choose my monthly payment date You can select any date from 1st to 28th of the month. You can change your monthly payment date online, or by calling us.
...take a break from my monthly mortgage payments You can apply to take a payment holiday for one month if you've made six consecutive monthly payments. You can take up to two payment holidays in a 12 month period.

You can apply for up to six payment holidays over the term of your mortgage.
You'll still be charged interest during a payment holiday, so your monthly payment may increase. We'll check to make sure you can afford to take a payment holiday when you apply.
...borrow more if I need to You can apply to borrow more after you've made six consecutive monthly payments. The minimum amount you can borrow is £5000. Additional Borrowing is currently only available on our Standard Variable Rate. Additional borrowing will increase the amount you owe, the interest payable and your monthly payments. Fees may apply.
...move home, but keep my current mortgage rate You can apply to take your mortgage with you when you move home.

When you speak to us about moving your mortgage, we'll walk you through what you'll need to know.
We'll check that your mortgage still meets our lending policy and maximum loan to value requirements. We'll also carry out a valuation of your new property. You may need to pay a property valuation fee. Other fees and charges may be payable.

Clubcard points

Collect Clubcard points with your Tesco Bank Mortgage

  • Every month – you'll collect one Clubcard point for every £4 of your monthly mortgage payment.
  • Overpay and collect – if you make a regular or lump sum overpayment, you'll collect one Clubcard point for every £4 you overpay.

When you won't collect Clubcard points

You won't collect points on any fees or charges paid separately from your monthly payments, or on any overpayment that pays off your mortgage in full.

Clubcard is administered by Tesco Stores. Tesco Stores are responsible for fulfilling points.

Remember, Early Repayment Charges apply when you overpay above the agreed limit.

Step by step

Step 1: Work out how much you could borrow and pay per month

Tell us your income and outgoings - our online calculator will estimate how much you could borrow. It's quick and easy.

Mortgage calculator

Step 2: Get a quote over the phone or online

Whether you're buying a home or remortgaging, you can get a quote based on what you'd like to borrow.

Even if you haven't found your new home yet, you can get a quote on what you think you'd like to borrow.

Just speak to one of our qualified mortgage advisers - it's free.

You'll need to know:

  • How much you want to borrow
  • Your deposit
  • The property's value – this will determine your loan to value so it's important to provide your best estimate

Our advisers will ask a series of questions about your needs and circumstances to determine the most suitable Tesco Bank mortgage product for you. We'll make a recommendation and send you a personalised Mortgage Illustration. This shows you the costs, fees, product features and interest rates that apply to the mortgage and the monthly payments.

You can apply online too using our Execution Only application, but you'll need to answer some questions to make sure you're eligible.

If you decide not to take mortgage advice, this is called an 'Execution Only' application.

Step 3: Track your application with Online Banking

Track the progress of your application online - make sure you sign up for Online Banking when you get a quote or apply. You can also sign up for text alert updates.

Registering for Mortgages Online Banking

Step 4: Completing your mortgage application

Once you’re happy with your Mortgage Illustration you can complete your mortgage application. We'll need:

  • Information about the property you'd like to buy or are remortgaging
  • Details of your solicitor or conveyancer if your mortgage is for a house purchase
  • Your bank details

We'll then:

  • Check your credit history
  • Make sure you can afford your mortgage payments
  • Confirm if the property meets our criteria subject to verification by our surveyor

At that point we’ll confirm we’re willing to lend to you and we'll ask you to pay any fees.

Some of these fees are non-refundable. So if you decide not to go ahead with a mortgage with Tesco Bank, you won’t get some of your fees back. The same applies if information comes to light which means we cannot lend to you.

We'll write to confirm your application, and ask you to send us some documents to verify the information you've given us. Our surveyor will contact you to arrange a valuation of your property.

Step 5: Manage your account online

Once your mortgage is arranged, you can manage it using Online Banking.

Like what you see?

Get advice

We're right here in the UK, from 8am to 9pm on weekdays, and 9am to 4pm on Saturdays.

0345 217 2050

Minicom: 0345 055 0607

These numbers may be included as part of any inclusive call minutes provided by your phone operator.

Apply online

If you don't need advice, you can apply for a mortgage online using our Execution Only application. We'll ask you a few questions to ensure you're eligible for this.

apply online

Information you'll need

Whether you apply for a Tesco Bank mortgage online or over the phone, we'll ask you for:

  • Your personal details - your name, address, date of birth and contact details.
  • Details of the property to be mortgaged - we need to know the year the property was built and the construction type, for example, brick or stone.
  • Your income and employment details - for example, are you employed or self-employed?
  • When you plan to retire - if the mortgage term you ask for extends into your retirement, we'll ask for evidence of income during your retirement.
  • Your financial commitments and monthly expenditure - it's important the figures you give us are accurate. You may want to have loan or credit card statements, your monthly bank statements and a list of your monthly spending to hand.
  • Your existing mortgage details - if you're remortgaging, we'll need to know the details of your current mortgage.
  • Documents to verify what you've told us - once you've completed the application, we'll ask you for documents that verify the information you've given us. You'll find more information about the kind of documents we accept in our document guide [PDF, 84KB]. If you are self-employed your accountant can use our accountant's certificate [PDF, 58KB] to document your income.

If you decide not to take mortgage advice, this is called an 'Execution Only' application.

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