Additional Acquisition Payments

An Additional Acquisition Payment allows you to:

• Reduce your monthly payments, or
• Shorten the term of your finance agreement.

Your eligibility and applicable charges depend on when you took out or switched your Home Purchase Plan (HPP) or Buy to Let Purchase Plan (BTLPP).

If you switched your HPP or BTLPP on or after 1 October 2025

Eligibility

You can make AAPs if your rental rate includes an Early Settlement Premium (ESP).

Charges and Conditions

• Minimum payment: £2,000
• Administration fee: £25 per payment
• Payment deadline: 20th of your rent review month
• Annual allowance: Up to 10% of your outstanding balance (as of 1 February)
• Allowance period: 1 February to 31 January
• Early Settlement Premium: Applies if you exceed the 10% allowance
• The £25 fee is deducted from your payment. For example, to make a £2,000 AAP, you must send £2,025.

Refer to the HPP Tariff List for full details

Click here for more information on the Early Settlement Premium

When Can You Make an AAP?

• Fixed or Discounted Variable Rental Rate:
  You can make up to four payments per year - in March, June, September, and December.
  Payments must be received by the 20th of the month.

How Your Payment Is Applied

• Your AAP will be applied with your next monthly payment.
  For example, a payment made in June will be applied in July, and your monthly payment will reduce in August.
• If you choose to keep your monthly payments the same, your finance term will reduce.
  You’ll receive confirmation of your new term by post once the payment is applied.

If you have not switched to a new rental rate on or after 1 Oct 2025

Eligibility

You can make an AAP if you are:

• On the AlRayan Bank Variable Rental Rate
• On a Discounted Variable Rental Rate
• In the final month of your fixed rental rate agreement

Charges and Conditions

• Minimum payment: £2,000
• Administration fee: £25 per payment
• Payment deadline: 20th of your rent review month
• Maximum payment: No limit

The £25 fee is deducted from your payment. For example, to make a £5,000 AAP, you must send £5,025.

Refer to the HPP Tariff List for full details <link>

When Can You Make an AAP?

• Variable or Discounted Variable Rate:
  You can make up to four payments per year - in March, June, September, and December.
  Payments must be received by the 20th of the month.
• Fixed Rental Rate:
  You can make an AAP only in the final month of your fixed rental rate agreement.
  Payment must be received by the 20th of that month.

How Your Payment Is Applied

• Your AAP will be applied with your next monthly payment.
  For example, a payment made in June will be applied in July, and your monthly payment will reduce in August.
• If you choose to keep your monthly payments the same, your finance term will reduce.
  You’ll receive confirmation of your new term by post once the payment is applied.

How to Make an AAP

Step 1: Let Us Know Your Preference

Tell us whether you want to:

• Reduce your monthly payment, or
• Reduce your finance term

You can do this by:

• Email: acquisitions@alrayanbank.co.uk
  Include your name and six-digit Customer ID (found on your statement)

Step 2: Make Your Payment

Send your payment via Bank Transfer, including the £25 administration fee:

• Account Name: AlRayan Bank PLC
• Account Number: 79977101
• Sort Code: 30-00-83
• Reference: Your six-digit Customer ID and name

If you're paying from an AlRayan Bank account, we can transfer the funds internally.
Please email us at acquisitions@alrayanbank.co.uk to confirm.

Step 3: Provide Proof of Funds

As a regulatory requirement, you must provide evidence of the source of funds.
Email this to acquisitions@alrayanbank.co.uk, quoting your name and Customer ID.

Documentation Requirements

If we cannot verify the source of funds, we may have to return the payment.
We recommend seeking legal advice if using gifted funds.