TSB mortgage review

£7 billionLent to home owners in 2017

TSB is one of the UK’s largest mortgage lenders, responsible for 2.7% of all mortgage lending in 2017 - which is around £7 billion.1

Originally founded in 1985, TSB is headquartered in Edinburgh and has more than 4.6 million customers.2

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

We’ve reviewed some of the UK’s top mortgage lenders and measured their service, application speed, and affordability.

See how TSB compares to other mortgage lenders:

Is TSB a good mortgage lender?

1,217Upheld complaints received by the financial regulator.

There are many ways to measure how good a lender is. We've chosen to focus on publicly available complaints data to estimate their quality of service.

We looked at TSB’s customer complaints record between July and December 2017. During this period the Financial Conduct Authority (the financial regulator) received 1,217 officially upheld complaints from TSB mortgage customers.3 That’s around 0.4% of customers and matches the 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 a TSB mortgage application take?

14 daysAverage speed of Trussle customer’s mortgage application with TSB.

During the last six months, the average speed that TSB processed a Trussle customer’s successful mortgage application was 14 days.* That’s longer than the 12-day average across all the lenders we’ve submitted applications to.

Bear in mind that the speed of application will vary depending on your own personal circumstances and the lender’s present day-to-day performance. In some cases, applications can be approved by the lender within 24 hours, while some can take weeks or even months. This can also be impacted by the quality of application submitted, which is why you may want to consider using a mortgage broker. The average quoted speed therefore may not reflect your own experience.

*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 TSB?

4.5 xMaximum annual income.

TSB could lend up to a maximum of 4.5 times income before tax, depending on your circumstances.

These details were last updated on 13th July 2018.

TSB mortgage rates

Mortgage rates will differ depending on the type of mortgage you have. The following TSB mortgage rates are based on securing a mortgage of £181,600 on a £227,000 property (that's 80% loan-to-value) over a 25 year term.

TSB's lowest 2 year fixed rate


Initial rate:
1.74%
Annual Percentage Rate of Charge (APRC):
3.90%

Based on securing a mortgage of £181,600 over a 25 year term. Reverts to SVR after initial 25 month period, costing £963.41 per month for 275 months. Total amount payable is £284,641.25 including interest and fees. True cost based on a 24 month period. This deal was last updated on 1st March 2019.

TSB's lowest 5 year fixed rate


Initial rate:
2.04%
Annual Percentage Rate of Charge (APRC):
3.50%

Based on securing a mortgage of £181,600 over a 25 year term. Reverts to SVR after initial 61 month period, costing £941.49 per month for 239 months. Total amount payable is £273,214.97 including interest and fees. True cost based on a 60 month period. This deal was last updated on 1st March 2019.

TSB's current Standard Variable Rate


Standard Variable Rate (SVR):
4.24%

This rate was last updated on 1st March 2019.

TSB mortgage deals

The following deals are based on securing a mortgage of £181,600 on a £227,000 property (that's 80% loan-to-value) over a 25 year term.

We’ve searched for the most competitive deals according to true-cost. This includes capital and interest repayments, fees, and incentives due over the initial period of the deal, and is a more effective way of comparing deals than looking for the lowest interest rate deal.

First-time buyer


True cost over initial period:
£18,806.84
Monthly payment:
£782.16
Upfront fee:
£35.00
Initial rate:
2.14%
Standard Variable Rate (SVR):
4.24%
Annual Percentage Rate of Charge (APRC):
3.90%

Reverts to SVR after initial 25 month period, costing £966.81 per month for 275 months. Total amount payable is £285,461.75 including interest and fees. True cost based on a 24 month period. This deal was last updated on 1st March 2019.

TSB remortgage


True cost over initial period:
£18,506.84
Monthly payment:
£782.16
Upfront fee:
£35.00
Initial rate:
2.14%
Standard Variable Rate (SVR):
4.24%
Annual Percentage Rate of Charge (APRC):
3.90%

Reverts to SVR after initial 25 month period, costing £966.81 per month for 275 months. Total amount payable is £285,461.75 including interest and fees. True cost based on a 24 month period. This deal was last updated on 1st March 2019.

Frequently asked questions about TSB mortgages

This information was last updated on 29th May 2019.

Is it easy to get a mortgage with TSB?


As with any mortgage lender, you’ll have to meet certain criteria to be eligible for a mortgage and your financial situation will be taken into consideration. All applications are subject to a credit score and affordability check.

How long do I have to wait after the valuation for my TSB mortgage offer?


TSB will usually arrange for a surveyor to prepare a valuation report on the property you’re looking to buy. You can also arrange for a professionally qualified surveyor or valuer to inspect the property for you.

However, the amount of time between the valuation and final offer will vary depending on your application and how long it takes TSB to get the results of the valuation.

When do TSB mortgage offers typically expire?


They typically expire after six months. If you’re unable to complete the purchase of your property within this timeframe, TSB recommend you contact them directly to talk about an extension.

Will TSB immediately release mortgage funds?


On the agreed completion date, yes.

Your solicitor and the solicitor for the house-seller will need to agree a date on which to complete the transaction, and let TSB know. The bank will then send the funds to the mortgage conveyancer, who will oversee the finalised transaction. This should ensure there’s nothing preventing you from getting the keys and moving in.

When will TSB expect the first mortgage payment?


This varies, but TSB will be in touch once your property purchase has completed. They’ll send you a letter that includes exactly how much your first payment will be, and when they’ll require it.

Bear in mind your first payment may not be needed until more than a month after your completion day. If this is the case, your first payment may be larger than you were expecting to cover the longer period.

Are TSB mortgage payments paid in advance?


Unlike rental payments which are paid in advance, mortgages are usually paid in arrears because interest is added after it has accumulated, not before.

Do TSB allow overpayments?


They do. You can increase the amount you pay each month, or pay part of your mortgage off with a single lump sum.

If you choose to pay a lump sum, you have three options available. You can:

  • leave your monthly payments as they are and wait for TSB to adjust your payments
  • ask TSB to reduce your monthly repayments yourself, across the same mortgage term
  • ask TSB to maintain your monthly repayments and reduce your mortgage term

Remember that depending on your mortgage, you may need to pay an Early Repayment Charge.

What TSB rate will I revert to after the end of my fixed rate?


It varies depending which mortgage you choose and when you sign up, but most new customers will move over to TSB’s Homeowner Variable Rate. TSB will adjust this rate depending on underlying mortgage market conditions.

If you applied for your mortgage before 1 June 2010, or if you have a buy-to-let mortgage, you may be an exception to this rule.

Will I be able to manage my mortgage online?


You’ll be able to view your mortgage details, such as your up-to-date balance, using online banking or the TSB app.

To see any additional information, or to make changes to your mortgage, you’ll need to contact TSB over the phone or in branch.

Can I get a TSB fixed rate mortgage?


TSB does have fixed rate mortgage options.You can apply for a two, three, five, or ten year fixed rate mortgage with TSB, as long as you meet the criteria set out in their terms and conditions.

Can I get a TSB interest only mortgage?


It is possible to apply for an interest only mortgage with TSB. With an interest only mortgage, your monthly payment pays off only the interest on your loan.

You’ll need a repayment vehicle to show how you’ll repay the balance at the end of the mortgage term, to be eligible for an interest only mortgage. This could include investments or equity in other properties.

Is a TSB buy-to-let mortgage available?


Yes, TSB offer buy-to-let mortgages. Providing you meet certain criteria, you can borrow up to 75% of the property’s value (65% for a new build) and take out up to three TSB buy-to-let mortgages at a time. Currently, two, three, and five year fixed rate deals are available.

Do TSB require that I get life insurance?


No, TSB doesn’t require you to take out life insurance.

The only insurance you’ll need to have is buildings insurance, which protects your property if the building itself gets damaged. Almost all major UK mortgage providers will require you to have buildings insurance as a safeguard against anything happening to their investment in your property.

Did TSB sell PPI alongside mortgages?


Yes, TSB did sell Payment Protection Insurance (PPI) to customers in the past.

But with recent changes to the way the FCA (the financial regulator) manages PPI, it’s no longer a hidden cost you’ll need to contend with. If you’d like to include the measure as an added protection for your investment, you can let TSB know. Otherwise, it won’t be included in your contract with them.

If you believe you’ve been mis-sold PPI by TSB, you can contact them directly and raise a complaint with their in-house team.

Where can I see reviews from existing TSB mortgage customers?


There are a number of review sites online that feature reviews from TSB customers, including Trustpilot.

What’s TSB’s mortgage contact number?


You can call TSB’s dedicated mortgage query number on 0800 056 1088. Lines are open 8am-8pm Monday to Friday and 9am-2pm Saturday. Alternatively you can request a callback.