Frequently asked questions

FAQs General

It’s a matter of personal choice - and individual circumstances. The simplest way to assess this is to go to Step 1 of the Secta Flexiplan calculator and enter the value of your home and outstanding mortgage. You’ll then receive an estimate of the maximum loan available to you on the Flexiplan. If this is sufficient for your requirements, the only question to ask is whether you want all the funds upfront (choose Secta Advance) or whether you’d like to benefit from the flexible lending option (Secta Flexiplan).

If the calculator is not offering you sufficient funds, enter the same figures again on the Secta Advance Plan calculator which is likely to offer more. This is due to differences in lending criteria for the lenders for each finance plan.

Overall, if the Flexiplan offers you sufficient funds, its flexibility ensures you only ever pay for the funds you need at any time, maximising its cost efficiency.

Please complete an Enquiry Form. We will then contact you to discuss the next steps.

For some people, a remortgage can offer a sensible solution, but for many it can be expensive. Our finance plans can sit alongside your existing mortgage to provide a simple, affordable option to pay school fees. 

What’s more, Secta Flexiplan offers a key advantage over a remortgage as it gives you peace of mind that there is a facility in place to cover the school fees; yet you can drawdown from it only when you need to, and you only pay interest on the amount you actually need.

As we are authorised by the FCA to give professional and impartial advice, we will consider the best option for you (including a remortgage) before making a recommendation. If a re-mortgage is the most suitable option we can search the whole of market to find the best product for you.

To be eligible for a loan you must:

  • be a permanent resident of England, Wales or Scotland
  • have lived in the UK for at least three years
  • be a homeowner with equity in your home
  • be aged between 18 and 74 and won’t be 75 or over at the end of the loan term
  • be in employment, self-employed, or retired and have an annual income of at least £20,000 (If you are self-employed please see below)
  • not have had any County Court Judgements (CCJs) awarded against you in the last three years
  • not have been declared bankrupt, had any Debt Relief Orders or gone through Individual Voluntary Arrangements in the last 6 years

You may apply if you are:

  • Self-employed, or
  • A company director owning more than 20% of the share capital, or
  • Using rental income to support your application.

We aim to give you an indicative quote immediately on enquiry. A decision in principle can be obtained within 48 hours of completing the full application. 

However, completing the application takes a few weeks due to the administration of the loan and communication with the first charge mortgage lender. We will complete this work on your behalf but please allow enough time for this before the termly payment is due.

One of our advisors will be in touch, usually the same working day, to explain more about the finance plans and the application process.

Unfortunately, we are only able to offer finance plans to homeowners who have equity in their property.

Yes, providing you have equity in a property you own, we can provide you with a product.

We will need:

  • Some personal details
  • Your UK bank account details
  • Your home addresses for the last three years
  • The estimated value of your property
  • The value of any outstanding mortgage on your property
  • Details of your gross annual income (minimum £20,000 per annum)
  • Your employer’s details (if you are employed)

The APR - or Annual Percentage Rate is a figure which helps you understand the cost of borrowing.

The APR you're quoted may vary from the advertised rate as your personalised quote is based on your current individual circumstances and the amount you choose to borrow.

The equity in your home is the amount of your home that you actually own. For most people, it is the value of their home less any outstanding mortgage.

A secured loan is a type of loan in which the borrower pledges an asset (often their home) as security for the repayment of a loan. This type of loan are much less risky for lenders, so lenders are generally more willing to make larger loans at much lower interest rates and over longer terms than they would with unsecured loans. A mortgage is the most common form of secured loan.

We cannot accept payment holidays or payment plans and you must contact your lender directly.  Your loan is secured against your property and you risk repossession if payments are not maintained.

Your credit score will not be affected by an initial enquiry or by requesting an indicative quote.

FAQs Secta Flexiplan

The maximum amount you can borrow will depend on your circumstances - the equity in your home, your household income, and other factors.  Our online calculator tool will be able to provide you with an indication of how much you can borrow, estimating the maximum loan. 

You are not obliged to borrow the maximum, however, so estimate what you think you might need over the schooling period.  Remember, you only pay interest on the amount you actually drawdown – not the entire amount you have applied for.

If the calculator doesn’t offer you the funds you need, take a look at the Secta Advance Plan.  Although you won’t have the same flexibility, you can borrow up to 100% of the equity in your home on the Advance Plan and this may boost the lending figure to better match your needs.

A Secta Flexiplan is flexible and enables you to adjust the repayment term to suit your circumstances. The longer the term you choose, the lower your monthly repayments will be (subject to a minimum). The maximum period for repayment is 30 years, but the actual term you choose is entirely your choice.

No. When applying for a Secta Flexiplan, most parents will estimate the maximum they might need over the next five to ten years. Once approved, the funds in your plan will be available to you until you have reached the limit of your plan. You can access your Secta Flexiplan at any time and drawdown as much as you need without having to complete any further applications.

Yes - Secta Flexiplan offers complete flexibility in the first 5 years. Any amount of funds can be drawn down at any time up to your total - or you can overpay, or even pay off the loan if you wish. If you require more funds than the total applied for, contact us for refinance options.

These are two completely separate things. The amount that you apply for is the overall amount that you have estimated that you might need over the period of your children’s education. Let’s say for the moment that you apply for £60,000. If your application is approved you will receive a Secta Flexiplan that makes funds of up to £60,000 available to you at any time over the term.

Now, although you might have £60,000 available to call upon, you may decide you only need to drawdown say £5,000 or £10,000 to start with - and this is the drawdown amount you will pay interest on. It means you’re only paying for funds you use, and not the full £60,000 (unless of course you decide to drawdown the full £60,000). As you draw down more funds over the period of your children’s education, the amount you pay interest on will grow too - but still only on the money actually spent.

Unfortunately, we are only able to offer finance plans to homeowners with equity in their property. However, if you own property but do not currently live there, we can offer you a product.

Your first payment will be deducted from your nominated bank account one month after you make the first drawdown from your finance plan.

You are responsible for paying the school fees. Secta Flexiplan enables you to drawdown the amount you require in time to pay the school fees as they are due.

It is best to apply as soon as possible so that we can get an agreement in place and make sure your funds are available as soon as you need them. You will not be liable for any interest or repayments until you drawdown from your finance plan, so early arrangement is best. It takes around 4-6 weeks to set up the plan and make funds available so make sure you leave plenty of time between beginning the process and the first term’s fees being due. If your child is due to start in September, we advise you get in touch by June at the latest.

Yes; you can repay your loan partially or in full at any time, and there may be a reduction in the amount of interest you have to pay. You will not be charged any early repayment fees.

We are currently unable to offer deferred payment facilities or payment holidays. If you find yourself in financial difficulty you must contact your lender directly.

FAQs Secta Advance Plan

The maximum loan under the Secta Advance Plan is £1 million. However, the maximum amount you will be able borrow will depend on your particular circumstances (such as the equity in your home, your household income, and other factors)

Our Advance Plan calculator tool will be able to provide you with an indicative amount. Once you have entered your details into the calculator, it will estimate the maximum lending we can provide to you (assuming you can afford the repayments).

The maximum period for repayment with a Secta Advance Plan is 30 years, but you can choose less than this if you prefer. Generally the longer the repayment period, the lower the repayment amount.

Yes, you can repay your loan partially or in full at any time and there may be a reduction in the amount of interest you have to pay. You will not be charged any early repayment fees.

Yes, Secta Advance Plan allows customers to make overpayments at any time during the term of the agreement.

We are currently unable to offer deferred payment facilities or payment holidays.