Santander adds mortgage cashback to its 123 Current Account
Mortgage customers of Santander who also hold a 123 Current Account will earn 1% cashback on their mortgage payments when they pay by direct debit, up to £1,000 a month.
This applies to both new and existing mortgage customers of Santander and Abbey for Intermediaries who already have or who open a new 123 account.
It could help borrowers reduce their annual mortgage bill by £120 and is in addition to the cashback the 123 Current Account already pays to customers who pay their household bills, council tax and communications bills by direct debit.
The monthly fee for the 123 account is £2 and customers need to pay in a minimum of £500 a month.
Customers also receive 1% cashback on water, council tax and Santander mortgages, 2% cashback on electricity and gas, and 3% on mobile, home phone, broadband, and paid-for TV packages.
Additionally, the 123 Current Account pays in-credit interest on a customer’s total balance of 1% AER, once the customer’s balance reaches £1,000, 2% AER on £2,000 or over and 3% AER on £3,000 up to £20,000.
Miguel Sard, managing director of Abbey for Intermediaries, said: “Since we launched the 123 Current Account in March this year, we’ve continually engaged with customers to find out what they would like from the account and the overwhelming response was that they’d like cashback on their Santander mortgage payments.”
In addition, Santander 123 credit card customers will be able to earn 3 per cent cashback on their National Rail travel and Transport for London spend including tube, train and bus travel.
This is in addition to the existing cashback categories, 1 per cent for supermarket spend, 2 per cent for department store spend and 3 per cent for petrol station spend.