See how much you save by remortgaging or refinancing: the new payment versus your current one, the monthly and total saving, and how long the fees take to recover.
Current loan and new offer
Enter the remaining balance, your current rate and term, then the new offer and the refinancing costs.
A remortgage is a new mortgage (new affordability, valuation, legals). Net the ERC on the old deal plus the new product fee against the saving. A product transfer with your current lender avoids legals and affordability checks.
Monthly saving = 175 £/monthIndicative loan figures. The payment uses the annuity formula (fixed rate). The real interest and APRC depend on the lender, on the Bank of England base rate and on fees — the figures here are estimates. Instant in-browser calculation, no account. Last updated: 11 July 2026 · Bank of England base rate.
⚖︎ Results are for informational purposes and do not constitute tax advice. For specific situations, consult a licensed accountant or the relevant tax authority.
It compares the current payment (balance, rate and months left) with the new payment; total saving also subtracts the remortgage costs:
On a £200,000 balance, from 6% to 4.5% over 20 years, the payment falls from ~£1,433 to ~£1,265 (≈£168/mo saving); £1,000 of fees are recovered in ~6 months, total saving ≈£39,215.
It is replacing your current loan or mortgage with a new one, usually at a lower rate or a different term. The new deal pays off the remaining balance and you continue on the new terms.
When the saving from the lower payment outweighs the costs (arrangement fee, valuation, legal work and any early repayment charge). The calculator shows how many months those costs take to recover.
It is the number of months after which the monthly savings cover the remortgage costs. If you keep the new deal longer than that, you come out ahead.
It can do either: a lower rate over the same term lowers the payment, while keeping the payment the same at a lower rate shortens the term. Here you compare the new payment with the old one.
Typically an arrangement or product fee, a valuation fee, legal or conveyancing costs, and sometimes an early repayment charge (ERC) on the deal you are leaving. Include the total in the "costs" field.
A new application involves a credit check, which may dip your score briefly. If you keep up payments and reduce your borrowing costs, the longer-term effect is usually neutral or positive.
Yes. Switching to another lender at the end of a deal is common and often brings a better rate; the new lender pays off the balance with your current one. Staying put with a new deal (a product transfer) is usually quicker but may not be the cheapest.