Negative equity

When the amount of money owed on a mortgage is greater than the value of the property the mortgage is secured on.

Operated account

This is an account opened for a child, which can be operated on their behalf until they reach their 16th birthday.

Possession proceedings

The legal process that we may take to obtain possession of your property if you fail to meet your obligations under the terms of the mortgage. The most common reason for us to do this is if you fail to make your mortgage repayments.

Principal sum

The initial amount borrowed by you when your mortgage commences.

Payment break

This is where the lender agrees that you can miss a specified number of monthly mortgage repayments. This is generally an option with flexible mortgages.