Definitions for "Cash Back Mortgage"
A special mortgage, offering cash payments on completion as well as certain refunds and free services.
This gives you a cash rebate on completion of the purchase. The sum is either a percentage of the advance or a fixed sum. This cash back could help you to cover some of the expenses of setting up home but this bonus is often subject to higher repayment rates and may include penalties for repaying the loan early.
This is a mortgage in which the Lender refunds a sum of money, either as a percentage of the loan or a flat figure, to the borrower upon completion. With this type of offer the borrower will typically be tied to the Lender's SVR by early repayment charges necessitating repayment of the cash back if the loan is repaid within a set period.