Should you get a mortgage from Royal Bank of Scotland?

12%Share of UK mortgage lending.

Royal Bank of Scotland (more commonly known as RBS) is a subsidiary of The Royal Bank of Scotland Group, one of the UK’s largest mortgage lenders, responsible for 12% of all mortgage lending in 2017 - that’s around £31 billion.1

Founded in 1727, RBS serves around 18.9 million customers across the globe.

RBS mortgage deals are available to a wide range of people, but they generally won’t lend to you if you have particularly bad credit.

See how they compare to other mortgage lenders:

Is RBS a good mortgage lender?

4,730Upheld complaints received by the financial regulator.

We looked at The Royal Bank of Scotland Group’s customer complaints record between July and December 2017. This includes customers of Coutts, NatWest, and Ulster Bank which are part of the group. During this period the Financial Conduct Authority (the financial regulator) received 4,730 officially upheld complaints from Lloyds mortgage customers.2 That’s around 0.3% of customers and is lower than the 0.4% average across major lenders.*

*The number of customers served by this lender isn’t publicly available so we’ve estimated this figure based on market share and average house price in the UK.

How long does an RBS mortgage application take?

We don’t currently collect data on the average speed it takes for RBS to process mortgage applications because their products can only be attained by applying directly.

The average time it takes for other lenders to process a Trussle customer’s application is 18 days.*

*The number of customers served by this lender isn’t publicly available so we’ve estimated this figure based on market share and average house price in the UK.

How much could I afford to borrow from RBS?

4.85 xMaximum annual income.

RBS could lend up to a maximum of 4.85 times income before tax, depending on your circumstances.

These details were last updated on 13th July 2018.

Current mortgage rates from RBS

This information is currently unavailable for this lender.

Current mortgage deals from RBS

This information is currently unavailable for this lender.

Frequently asked questions about Royal Bank of Scotland mortgages

This information was last updated on 16th July 2018.

Can I make overpayments to RBS?

Yes, you can make overpayments on any RBS mortgage. But whether you’ll have to pay a fee to do so depends on which mortgage product you have:

  1. If you have a Standard Variable Rate mortgage, you can make unlimited overpayments with no charges.
  2. If you have a fixed-rate or a tracker mortgage, you’ll have to pay a fee if you overpay by more than 10%.

You can increase your regular monthly payments or make a one-off lump overpayment. If you make a lump sum payment, RBS may reduce your monthly payments to keep the length of your mortgage term the same.

When will RBS require me to make my first mortgage payment?

You’ll find this out after your mortgage has been approved. RBS will send you a welcome letter telling you when you’ll need to make your first mortgage payment, as well as how much it will be.

You can ask to amend your first payment date over the phone or online. To request online, you’ll need your mortgage account number and the postcode of the property you are mortgaging.

How long will I have before my mortgage offer expires?

The expiry on your RBS mortgage offer will vary depending on your circumstances. If you’re a first-time buyer, or if you’re buying a newly built property, it’s usually six months. If you’re moving home or remortgaging to RBS, it will be three months.

So if you’re a first time buyer, you should have six months to complete the purchase of your home from when your mortgage is formally approved.

When will RBS release my mortgage funds?

RBS will release your mortgage funds on the day your purchase is completed, so you should be able to move in immediately. You don’t need to inform RBS of your intended completion day as your solicitor should take care of it for you.

Your completion day will need to be agreed with the person you’re buying the house from. This will usually happen after you’ve paid your deposit and signed all the relevant contracts.

Can I manage my RBS mortgage using online banking?

You can view and manage your mortgage using the RBS online portal. All you’ll need is your surname, date of birth, your mortgage account number, and your property’s postcode.

Once you’ve logged in, you’ll be able to make overpayments, request to change your payment date, update your payment bank account, set up a direct debit, view your current balance, and more.

What happens when my fixed-rate period ends?

You’ll switch over to RBS’ Standard Variable Rate (SVR) when your fixed-rate period is over. With the SVR, your monthly payments and interest rate will no longer be fixed. Instead, they’ll vary according to how the mortgage market is performing and will often be higher than your initial period deal.

It’s usually a good idea to work out how much you’ll need to pay if you move over to the SVR. You can do so using RBS’ mortgage calculator.

Will I need life insurance if I choose RBS?

No, RBS don’t have any requirement for customers to get life insurance, or critical illness cover.

If you’re buying your first home with RBS, they’ll require you to have buildings insurance to cover damage to the property itself, plus any fixtures and fittings. Buildings insurance won’t cover what’s inside the house, though — for that you’ll need contents insurance.

Did RBS ever sell Payment Protection Insurance (PPI)?

Yes, RBS sold PPI to customers with mortgages, loans, and credit cards.

PPI is a type of insurance that covers you if you can’t make your repayments for a specific reason. For example, if an accident prevents you from earning money. The Financial Conduct Authority (FCA) has changed the rules on PPI, so if you’re a new mortgage customer, you won’t be sold PPI unless you specifically request it.