Santander will allow product transfer customers to switch to a new deal if it is lower than their current rate right away, without early repayment charges.  

The high street lender tells brokers in a note: “If your client’s new rate is lower than their current rate, they’ll get to choose if they want the new deal to start straightaway — the date they accept their offer — or wait until the day after their current deal ends.” 

It says the result of this change is that broker clients “could benefit from lower payments sooner and be on the fixed rate for longer, if they switch straightaway”. 

If borrowers wish to start their new deal straightaway, they must select ‘Today’ on the accept mortgage offer screen, the bank says. 

But the lender warns that clients who do choose to start a new deal right away, “won’t be able to change or cancel it” as there is “no cooling off period”.

It adds that only eligible clients can take up new deals straightaway.