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Barclays Mortgage Review

Read on to find out more about Barclays Mortgages, how they work, and why they could be a good fit for you

A photo of Grace Lynch, the author

By Grace Lynch

Published on: 29 September 2022

15 min read

Barclays Mortgage Review

Barclays is one of Britain’s biggest banks, with hundreds of branches across the nation. They have been providing financial services to the people of the UK since 1690, with some of their proudest achievements including introducing the UK’s first debit card in 1987. 

Barclays is also well known for providing top quality mortgages to thousands of homeowners and investors in this country. Many people who bank with Barclays also choose to place their mortgage with them, due to the appealing and competitive Barclays mortgage rates for existing customers. 

Whether you have banked with Barclays your whole life, or you have seen a particular mortgage deal that has caught your eye, it could be worth considering Barclays when buying your next property.  

In this independent review, our aim is to give you all the information you need to judge whether Barclays is the right choice for your mortgage. We will discuss who Barclays are, the types of mortgages they provide and some of the incentives offered to their mortgage customers.  

Why choose a Barclays mortgage? 

Barclays offers a wide range of mortgage products to suit buyers of different backgrounds, including first time buyer mortgages, buy to let mortgages, offset mortgages and more.  

They also offer great incentives for customers choosing to remortgage to them from other lenders. Their ‘Great Escapes’ mortgages give homeowners the opportunity to remortgage to a better deal with no valuation or legal fees charged. 

Barclays is also conscious of being environmentally friendly where possible. With their Greener Home Reward, Barclays has joined other high street lenders in offering cashback for mortgage customers wanting to reduce their carbon footprint.  

About Barclays 

Barclays was founded by two bankers, John Freame and Thomas Gould in London in 1690. The business was not known as Barclays at this point, with the businesses’ namesake James Barclay not joining as a partner until 1736. He was brought on by his brother-in-law, John Freame’s son Joseph. 

Although they began in London, Barclays spread across the UK over the years with Barclays branches now easily recognisable on most UK highstreets. They bought out and merged with many other banks over the years including the Stamford, Spalding & Boston Banking company (1911) and the United Counties Bank (1916). 

Barclays introduced a number of firsts to the UK financial services market, with customer convenience being a priority. Barclays installed the UK’s first cash machine at their Enfield branch in 1967, allowing customers to access their money 24/7.  

They also were the first UK based bank to introduce debit cards for their customers, with the Barclays Connect card launching in 1987. 

[BARCLAYS TIMELINE] 

Main areas of business for Barclays include: 

  • Current accounts  
  • Credit cards 
  • Mortgages 
  • Loans 
  • Savings accounts and ISAs 
  • Investments 
  • Insurance 

Barclays provides thousands of mortgages every year, but that doesn’t mean they are the right fit for everyone. It is worth looking at the types of mortgages offered compared to other lenders, to make sure you are making the right choice.  

Here we have the main facts about Barclays mortgages, so you can assess whether they seem a good option for you. 

Type of product Mortgages 
Repayment options Capital and repayment mortgage (the amount borrowed plus interest is repaid on a monthly basis) 
Interest only mortgage (only the interest on your loan is repaid each month, with the full mortgage amount being repaid at the end of the mortgage term) 
Part interest or ‘part and part’ mortgage (you can combine repayment and interest only into one mortgage, paying part of the loan on an interest only basis and the rest as capital and repayment, only available with specific mortgages). 
Types of mortgages available  Traditional mortgage  
Barclays remortgage (also referred to as a Great Escape Mortgage for new customers) 
Barclays Buy to Let mortgage 
Barclays First Time Buyer mortgages 
Barclays Family Springboard mortgage 
Barclays Guarantor mortgages 
Barclays Help to Buy mortgages 
Barclays Shared Ownership mortgages 
Barclays Green Home Mortgage (buy to let and home mortgages) 
Barclays Offset mortgages 
Barclays Premier mortgages (available to Barclays Premier banking customers only) 
Interest rate types available Barclays fixed rate mortgage (the interest amount paid will stay the same for a set amount of time, usually 2 or 5 years) 
Barclays tracker rate mortgage (the interest amount paid can vary each month, as it tracks any increases or decreases in the Bank of England base interest rate) 
Maximum mortgage term Capital and repayment: 40 years 
Interest only: 25 years 
Loan to Value (LTV) options (deposit amount vs overall property value) 50% LTV mortgage (deposit 50% of property value) 
60% LTV mortgage (deposit 40% of property value) 
75% LTV mortgage (deposit 25% of property value) 
80% LTV mortgage (deposit 20% of property value) 
90% LTV mortgage (deposit 10% of property value) 
95% LTV mortgage (deposit 5% of property value) 
100% LTV mortgage – a Family Springboard Mortgage (no deposit from the buyer themselves, though 10% of the property value is provided as security by a guarantor and held in a bank account for the first 5 years) 
Does Barclays have early repayment charges (ERCs)? YES, certain Barclays mortgage products will charge fees for early repayment. You will be able to check if your mortgage includes early repayment charges in your Barclays app, online banking or mortgage offer letter. 
Fees charged for Barclays mortgages You may be charged fees with some Barclays mortgages including: 
Product fees of up to £999 (up to £1,749 for an offset mortgage) 
A valuation fee if the property is worth over £2million  
Buy to let valuation fees may be charged at various prices between £175 and £1,945 depending on the cost of the property 

Buying a new home can be both very exciting and very stressful and one of the first things you will need to consider is which properties you could afford to buy. Most buyers will be in need of a mortgage and the amount that you can borrow will vary depending on factors such as your income, credit history and the amount you have saved as your deposit. 

Luckily most high street lenders have mortgage calculators on their websites, to give you a rough guide as to how much you may be able to borrow for your home. If considering Barclays for your mortgage, they have a Barclays mortgage calculator easily available online. 

The mortgage calculator Barclays have is simple and straightforward to use, only asking 4 questions: 

  • How many applicants will be on the mortgage (unlike some lenders, Barclays will allow you to apply online with up to 4 applicants) 
  • Each applicants’ income (with drop down boxes so you can select options such as yearly income, monthly, fortnightly etc depending on your preference) 
  • Details of any regular spending e.g. loan repayments, pension contributions, overdrafts 
  • Reason for the mortgage e.g. buying a first home, moving home, remortgaging 

This calculator will then work out a basic idea of how much you may be able to borrow with Barclays, based on your answers.  

If you want to get a more detailed and accurate quote, Barclays also have an online affordability calculator linked at the top of the mortgage calculator page, which includes additional questions such as: 

  • Are you employed, self-employed or have no income? (applies to each applicant individually) 
  • Do you have additional sources of income? E.g., investments, benefits, child maintenance 
  • More details about financial commitments such as student loans, being a guarantor on someone else’s mortgage, if you rent other properties e.g. a business premises  
  • Do you have dependents (children or adults) or pay child maintenance? 

You can find out more about this topic in our guide ‘How much can I borrow for a mortgage?’

How to contact Barclays mortgages 

From time to time, you may need to get in touch with your mortgage provider. Life changes may lead to you needing to adjust your mortgage terms, change a name on a mortgage or even just make a general enquiry.  

Large companies such as Barclays often have multiple contact numbers, which can make it more difficult to know you are calling the right person to help you. Below we have put together list of contact numbers for Barclays mortgages, to save you from the frustration of multiple calls and being passed between departments. 

Barclays mortgages contact number for new and existing customers  

Barclays mortgage contact number for residential and buy to let mortgages: 
Tel. 0333 202 7580 
Opening hours: Monday to Friday 7am-8pm / Saturday to Sunday 7am-5pm / Bank Holidays 9am-5pm 

Barclays mortgage contact number for commercial properties: 

Tel. 0333 202 7431 
Opening hours: Monday to Friday 9am-7pm / Closed weekends and Bank Holidays 
(You will need your 12-digit telephone banking membership number or the sort code of your business account when speaking to the business lending team) 

It is important to note that 03 numbers are not free to call, so it can be worth checking with your phone provider how much these calls may cost you. This is especially true if you could be on the phone for a while. 

What does Barclays look at before approving your mortgage? 

Every mortgage lender will assess similar factors when deciding whether to approve your mortgage, but they may have different views on factors such as credit score and deposit sources. 

This means it is sensible to do some research before applying, so you don’t waste time applying to lenders that might be more likely to decline your application.  

Below we have put together some facts about Barclays’ lending criteria, to help you assess if they seem a good fit for your mortgage. 

Lending criteria  Barclays mortgages 
Acceptable deposits Savings account: a savings account will be an acceptable deposit source 
Help to buy: ISAs and Equity loans: can be used towards the deposit for your mortgage but you will need to provide at least 5% of the property value yourself. 
Forces Help to Buy Loan (FHTB): available to people in the armed forces and there are various attached conditions. It is a good idea to consult an advisor if using an FHTB loan. 
Equity from the sale of another property: the profits from the sale of another property will be classed as an acceptable deposit source 
Gifted deposit: will be allowed from a family member, you may need to provide a gifted deposit letter to prove the money is not a loan that will be repaid. 
Vendor gifted deposit or builder’s cash incentive: can be accepted as partial funding of the deposit but is capped at 5% of either the full sale price or valuation amount. Also, a minimum of 5% of the deposit must come from the applicant’s own funds.  
Number of applicants Maximum of 4 applicants (only 2 incomes will be assessed) 
Minimum and maximum ages of applicants Minimum age 18 years (21 for buy to let mortgages)  
Maximum age at the end of the mortgage term is 70 or retirement age (whichever is sooner).
You may be able to apply for a mortgage during retirement with Barclays, but applications will be considered on a case by case basis. 
Will Barclays approve mortgages for foreign nationals? YES, but there are restrictions in some cases. If you have permanent right to reside in the UK, you will be assessed with the standard criteria, but will not be able to get a 95% mortgage if you have been in the UK for less than 2 years. 

If you do not have permanent right to reside, settled status or Pre-settled status: You will not be able to get 95% mortgage (5% deposit) You have to be a Barclays premier or wealth customer to get a mortgage if you have been in the UK less than 2 years and you will need a 25% deposit. 
Credit score/history requirements Barclays is a strict lender when it comes to poor credit history. You will be declined if: 

You are repaying a County Court Judgement (CCJ) or have multiple repaid CCJs within the last 3 years or they total more than £200 
If you have had an Individual Voluntary Agreement (IVA) or been made bankrupt in the last 6 years 
Have a history of arrears and missed payments for loans, mortgage or rent for 2-3 months or more  
Applicants who work or live abroad Barclays can accept applications for UK mortgages from buyers overseas, as long as they are one of their Barclays International Banking customers. 

There are several types of interest rates available for mortgages, commonly offered by most high street lenders. The interest rate types you can get with a Barclays mortgage are: 

  • Fixed rate mortgages: the interest rate you pay will stay the same each month for a fixed period of time. Barclays offer a range of fixed rate periods including 2, 5, 7 and 10 years depending on the mortgage type and the term that best suits you. 
  • Tracker rate mortgages: the interest rate paid each month can increase or decrease depending on changes to the Bank of England’s base interest rate and this deal will last for 2 or 5 years.  

At the end of a fixed or tracker rate period, you will be moved onto the Barclays follow on interest rate. As of January 2023, this rate is 6.99% but Barclays can change this rate at any time. 

Find out more about fixed rate mortgages in our guide ‘Everything you need to know about fixed rates mortgages’

Should I get a Barclays buy to let mortgage? 

Buy to let mortgages are a popular choice for people wanting to invest their money. They can use this mortgage to buy a property, which will then be rented out for a profit. It is however a big investment, so it is important to consider your options carefully when choosing your mortgage provider.  

Some providers will be better than others when it comes to buy to let products, so it is a good idea to look around and see what deals are on offer.  

There are several factors you will need to consider, if you want to buy your next (or first) investment property with Barclays: 

  • You must be 21 years old or older to be eligible for Barclays buy to let mortgages 
  • If you are applying as part of a  joint application, the other applicant(s) will need to be over 18 years old (at least one of you must be a minimum of 21 years old) 
  • You can apply as a joint investment with up to three other people, as long as you are not applying as a business. 
  • You cannot have more than 6 buy to let mortgages with Barclays (10 buy to let mortgages if spread across other providers as well) 
  • If you have multiple buy to let mortgages with Barclays, you can borrow up to a maximum of £3million across all the mortgages (£4.5million if spread across other lenders too) 

A very specific type of mortgage offered by Barclays is a springboard mortgage (commonly known as a Barclays family springboard mortgage). With this mortgage you can receive a competitive interest rate for a fixed term of 5 years and also receive help and support with your deposit – particularly useful for first time buyers! 

A springboard mortgage is a form of guarantor mortgage that allows you to buy a home with the help of another person, usually a family member providing your deposit.  Often lenders can have strict criteria for guarantors but Barclays states anyone can be a mortgage ‘helper’ whether a family member, friend or ‘anyone who’d like to help someone they know buy a home’. 

This type of mortgage can be extremely helpful for people who may otherwise struggle to save enough for a mortgage deposit, as the ‘helper’ can provide the entire deposit on their behalf. They simply open a Barclays Helpful Start Account and deposit 10% of the property value into it.  

These funds will be released back to the guarantor after 5 years of consistent mortgage payments – with the bonus of added interest that has built up in the meantime!  

This can make Barclays an attractive guarantor mortgage option, with benefits for both the buyer and guarantor. The buyer gets a home mortgage with an 100% loan to value ratio (which can be rare to find) and the guarantor can treat the bank account as an investment. 

You won’t be able to apply for a family springboard mortgage online but can easily book an appointment time to suit you at your local Barclays branch. You can also discuss whether this mortgage is the right choice for you with a Barclays mortgage advisor at this number: 

Are Barclays mortgage overpayments possible? 

If you have unexpectedly found yourself with some extra money, it can make sense to use this to remove some of your debts or expenses. A popular choice if you have received a large sum (often from an inheritance or investment) is to repay some or all of your mortgage.  

Some lenders can be hesitant to allow overpayments as this reduces their overall profit, as they will not be charging interest for as long. Lenders that do allow overpayments may not allow this for all their mortgage products and will charge fees for larger overpayments.  

Barclays does allow you to overpay, with the result being slightly different depending on how much you pay: 

  • Overpayments of more than 3 times the usual monthly payment: results in your monthly repayments being recalculated and reduced and the length of your mortgage term will not change. 
  • Overpayments of less than 3 times the usual monthly payment: these payments will go into an ‘overpayment balance’, which builds up over time and can allow you to reduce the length of your mortgage term.  

Depending on your mortgage, you might be charged early repayment charges (ERCs) for overpaying, so it is best to check your documents carefully before agreeing to overpay. 

There are several ways to arrange a mortgage overpayment with Barclays: 

  • Book an appointment to speak to a Barclays mortgage advisor in your local branch 
  • Log into Barclays online banking to transfer a one-off overpayment or pay via a debit card. 
  • Log into Barclays online banking to set up a regular overpayment direct debit or standing order 
  • If you are not a Barclays banking customer or would prefer to arrange the payment over the phone, call: 

Tel. 0333 202 7580 
Opening hours: Monday to Friday 7am-8pm / Saturday to Sunday 7am-5pm / Bank Holidays 9am-5pm 

How long until you receive a Barclays mortgage in principle? 

An important first step in applying for a mortgage is receiving a mortgage in principle. Barclays refer to this as an agreement in principle (AiP) and other lenders may have slightly different names for this as well (decision in principle for example). 

Without an agreement in principle, you won’t be able to move onto a full mortgage application or put in an offer on a house. It can be quick and easy to get one online these days and Barclays mortgages are no exception to this. You can get an agreement in principle in less than 10 minutes with Barclays and you also have the option of starting the process and returning to it at a later point. 

All you need to do is go onto the Barclays website to get started, although you can of course also get an agreement in principle in branch or over the phone if you wish. 

The online form starts by making sure the applicant has everything they need to receive their agreement in principle, as well as outlining some basic criteria for lending that must be met.  

To be eligible for a mortgage applicants must: 

  • Be a permanent UK resident, over the age of 18 with proof of at least 2 years of UK addresses. 
  • Be applying for only 1-2 applicants. For 3-4 applicants, you will need to call and book an appointment with an advisor: Tel. 0800 197 1081  
  • Be in receipt of regular income that is expected to continue for the foreseeable future (this only has to be one applicant if you are applying for a joint mortgage) 
  • Have been in employment for at least 3 months (if this is where your income comes from) 
  • Be up to date on any loan or credit repayments 
  • Be applying for a capital and repayment mortgage (interest only needs to be arranged over the phone or in branch) 
  • Be planning to buy or remortgage a home you will be living in (not a buy to let property) 

To get your agreement in principle you will need: 

  • To have an idea of how much you would like to borrow 
  • Information about any other mortgage(s) you have (if applicable) 
  • Your addresses from the last 3 years 
  • Details about your income and any additional benefits, bonuses etc 
  • Information about any debts or regular payments that will not be repaid before the mortgage starts e.g. car finance 
  • Details of any additional financial commitments you know you will be taking on once the new mortgage is in place 

Once you have your agreement in principle, you can move on to a full mortgage application. Barclays state it currently takes around 4 to 6 weeks to assess and approve a mortgage application, this of course can vary though depending on individual circumstances.  

Benefits of Barclays mortgage deals 

There are several benefits offered by Barclays mortgages that are worth thinking about when choosing your mortgage lender. These include: 

  • Access to exclusive interest rates for existing Barclays banking or mortgage customers. 
  • Switch & Fix facility for Barclays offset and tracker rate mortgages mean you can switch to an available Barclays fixed rate deal at any time without ERCs needing to be paid. 
  • Barclays Great Escape Mortgages allow you to remortgage to Barclays from your current lender with NO application, valuation or legal fees charged. 
  • Easily switch to a new mortgage rate with NO legal/valuation fees or income assessments if you are a current Barclays mortgage customer. 
  • Barclays family affordability plan can help first time buyers by allowing them to combine their income with a family members on their application  
  • Barclays Greener Home Reward can provide you with up to £2000 to pay for renovations to make your property more energy efficient. These improvements could include heat pumps, solar panels, insulation and double or even triple glazing your windows. 

A mortgage applicant can seem daunting, especially if you have never applied before. Lenders do their best to make the process straightforward but there are several ways you can apply for a new mortgage or a remortgage.  

If you want to apply for a mortgage with Barclays, you can: 

A qualified mortgage advisor will be able to help you compare available deals and lenders to help you make the right choice. You will be tied into a mortgage for many years, so it can be helpful to have some additional support and qualified advice before committing.  

Barclays mortgage reviews 

When deciding on your mortgage provider, you may wish to see what feedback other people have given. A good source for independent reviews is Trust Pilot.  

As of 2022, Barclays is rated 1.4 out of 5.0 stars on Trust Pilot, with over 7,700 reviews. This could be discouraging but it is important to remember these reviews include all of Barclays services and aren’t mortgage specific. 

Barclays has however: 

  • Won YourMortgage Best Intermediary Mortgage Lender 2022/23 
  • Won the WhatMORTGAGE Best Large Loans Mortgage Lender 2022 
  • Was highly commended for the WhatMORTGAGE Best Guarantor/Family Support Mortgage Lender 2022, Best Remortgage Lender 2022 and Best National Bank 2022. 

Resources

Barclays – Help with mortgages

Financial Conduct Authority – Mortgage lending statistics – December 2022

Statista – Mortgages in the the United Kingdom (UK)

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