Nearly three quarters of borrowers plan to repay their loan early according to a survey from Chelsea Building Society.
The society says 72 per cent of its Flexiplan customers say they hope to repay their mortgage earlier than the agreed terms. Chelsea says they have chosen the Flexiplan Discount Mortgage because it allows for overpayments.
The survey was conducted in July, coinciding with the launch of the Flexiplan Discount loan which offers a 0.90 per cent discount off of Chelsea's Standard Variable Rate. The rate on the loan is currently 4.79 per cent.
Chelsea public relations and corporate affairs controller Matthew Cape says: “The result of this survey provides a fascinating insight into peoples' attitudes towards flexible mortgages. Our survey shows that the facilities that people may look for when choosing a flexible mortgage are not necessarily the ones they come to use. The majority of borrowers are planning to make overpayments or lump sum payments in the future, showing their confidence in managing their own finances.”