What is a Product Transfer?
A product transfer (also called a product switch or rate switch) is when your mortgage deal - usually a fixed rate - comes to an end, and instead of switching lender through a full remortgage, you take a new deal offered by your existing lender.
You stay with the same lender, keep your existing mortgage account, and move onto a new interest rate. Your monthly payments change to reflect the new rate, but everything else about your mortgage - your term, your repayment type, your loan amount - stays the same.
How Does a Product Transfer Work?
- 1
Your deal ends
Your lender contacts you - usually 3–6 months before your deal expires - with product transfer offers.
- 2
You compare
You (or your broker) compare your lender's offer against the rest of the market.
- 3
You choose
If your lender's rate is competitive, you accept the product transfer. If not, you remortgage to a better deal.
- 4
It completes
Product transfers typically complete within days of your request, with no legal work or valuation required.
The New FCA Rules (July 2026)
In July 2026, the FCA introduced significant changes to product transfer rules. Previously, lenders were required to carry out a full affordability assessment for product transfers, even when the borrower was simply moving to a cheaper deal. This often deterred lenders from offering proactive help to borrowers in arrears or financial difficulty.
Under the new rules, lenders no longer need to carry out a full affordability assessment when a borrower moves to a cheaper deal with the same lender. This makes product transfers:
- Faster - no underwriting delays
- Simpler - less paperwork
- More accessible - even if your circumstances have changed
However, this also means lenders have less obligation to actively seek out their best rate for you. That's why independent broker advice is more important than ever.
Product Transfer vs Remortgage - Key Differences
| Factor | Product Transfer | Remortgage |
|---|---|---|
| Lender | Stays the same | Changes |
| Speed | Days | 6–8 weeks |
| Affordability check | Not required (FCA July 2026) | Required |
| Valuation | Usually not required | Usually required |
| Legal fees | None | £1,500–£3,000 |
| Rate choice | Your existing lender only | 130+ lenders |
| Best for | Speed; if your lender's rate is competitive | Best rate, regardless of lender |
DBF Product Transfer System - Faster If You Want to Stay
If after comparing the market you decide to stay with your existing lender, Doulton Bridging Finance can process your product transfer through our dedicated product transfer system - cutting the admin time significantly compared to going direct.
- We handle the paperwork and submission on your behalf
- Faster processing than applying directly to your lender in many cases
- Cashback available on eligible like-for-like product transfer deals - ask us when you enquire
- You still benefit from our whole-of-market comparison first, so you know you're on the best deal available
This service is included at no extra cost. We are paid by the lender on completion.