Renegotiating mortgage - will be on mat leave

[Peonyyyy]

Hi just wondering if anyone has any advice of how to handle this. Our mortgage runs out in March 2025, we’ve had a letter to start re-negotiation a new fixed term.

I’ll be on mat leave from beginning of 2025 and only on statutory, we’ve worked it all out and saved up and should be fine but will we be penalised because my salary will basically be cut in half?

if I renegotiate it now while I’m still working can I just not tell them I’ll be on Mat leave when it changes?

Were confident we can pay but just don’t want them to think we can afford it and not sure how it works with their calculations.

thanks

It depends on the bank, we are with santander and I had to send evidence of my savings for the unpaid mat leave part and sent the agreement from HR that I was returning to work. I think banks are very slowly becoming less discriminatory towards Mat leave. Strangely enough women do consider how to pay their bills if planning for a baby!

When I have just taken a new fix or variable rate with the same lender there has been no discussion - just a computer click. Likely only to need negotiation if you move lender

If you remain with your current lender they don't usually ask for any documents, I re-fixed with my current lender in 2021 when I was on SMP and they didn't ask a thing.

If you are thinking of going to a different lender then speak to a broker as they'll be able to find lenders who are happy to accept letters from your employer saying something along the lines of when you will be returning to work and what your returning salary will be.