Mortgage mis-sold??

mac_saver

arkie wrote: »

If you would not have got a CCJ and had mortgage arrears you would have got a mortgage. So no mis-selling. You are hoping somebody else will pay for your mistakes.
I dealt with a client at the begininng of the week with mortgage arrears, they had sky multi room (£75pm) contract mobiles(£25pm each) broadband(£15pm), 2 cars but only needed 1, but didnt pay their mortgage. I had to tell her to prioritise things, pay the mortgage, gas, electric, council tax, food then luxuries if more people did this they wouldnt get into a financial mess. Look around and see what you could save money on.
My client are clearly informed, left a KFI told to study the mortgage offer, clients have plenty of time to ask questions, remortgaging doesnt happen overnight,it takes 2-6 weeks.
Did you release capital from your mortgage? If so what did you do with it?.
What was your credit rating like when you took the remortgage on? defaults, ccjs?
Who was your previous lender?
The adviser posted you some legal stuff and you signed it !!!!! come on that would not stand up in a court of law. The onus is on you to read and understand what you are signing.

Didnt have mortgage arrears before July 08 when 2 year deal ended, remortgaged to release small amount of equity due to wifes ill health to pay off debts that had built up due to bills including medical treatment. At the time i took on the mortgage i was behind with a few credit card bills no arrears no CCJ, feel stupid for trusting him thought all advisors were like the one i knew. Now it is evident i dont appear to have a leg to stand on i will just have to wait and see what happens.

dunstonh

the arrears are now on my account because for the past 2 months i have not been able to find the extra £400 my mortgage has gone up by due to my deal being linked to the LIBOR rate i would never of signed signed for if it would have been explained to me in the first place,and yes before it is said again my own fault for trusting a financial advisor i didnt know, desperate times make you open and fair game!

It doesnt matter that its LIBOR. Your mortgage rate would have gone up had they been linked to base rate. The amount may have been different and there would be times that the base rate is higher than LIBOR. In that case would you be complaining that you should have had a LIBOR mortgage?

A £400 increase (on 179k of borrowing) suggests that you were on a low cost deal for 2 years. The bulk of that increase is almost certainly down to the fact the deal ended rather than it being LIBOR. What was the old deal rate that you were on?

mac_saver

dunstonh wrote: »

Dont take the responses as being an attack back on you (as we are not treating yours as an attack on advisers). These are the sort of things that will come up if you pursue a complaint to the FOS.



The KFI is possibly one of the few things the FSA has got right. It is kept simple and short and highlights all the key facts. On face to face appointments the key points of the KFI should be read to you. However, you should obviously read it yourself as well. If you dont understand some of the recommendation or comments on the KFI then you should let the adviser know. Unless you tell the adviser you dont understand they are going to assume you do.

The only possible area of complaint you may have based on what you have written so far is if what you have is a sub prime mortgage when you could have qualified for a prime or near prime mortgage.

Hi thanks
I am not attacking all advisors I am sure most advisors have their customers satisfaction at heart.Just facing a bleak future! was told my deal was not the best that was available to me at the time i took it out and perhaps i am clutching at straws after what i was told but would'nt anyone faced with explaining to his children that we may lose our home! I was looking for some advice dont need to be told i was wrong i know that now.

arkie

When did you start looking for a new deal? . You should have started looking 2 months before, then the mortgage arrears would not have been a problem. The CCJ would have been. So to put it bluntly, your mortgage arrears are due to your payment going up as you cannot remortgage because of your CCJ which isnt your advisers fault. However you look at this it is not a case of mis-selling.

Everybody has bad luck, have you cut your monthly costs down as much as possible, cancelled sky, broadband etc ?
Have you spoke to your lender? dont bury your head in the sand, make a payment to your account no matter how little, show a willingness to pay, by not paying at all you could face losing your house although I doubt a court would throw you out of your home with children.

mac_saver

dunstonh wrote: »

It doesnt matter that its LIBOR. Your mortgage rate would have gone up had they been linked to base rate. The amount may have been different and there would be times that the base rate is higher than LIBOR. In that case would you be complaining that you should have had a LIBOR mortgage?

A £400 increase (on 179k of borrowing) suggests that you were on a low cost deal for 2 years. The bulk of that increase is almost certainly down to the fact the deal ended rather than it being LIBOR. What was the old deal rate that you were on?

Hi the initial advance was for £176,500 at a rate for 2 years @ 7.14% then up to 8.33% if the rate stayed the same interest only with the promise to come back after the 2 years to arrange a better deal.

mac_saver

arkie wrote: »

When did you start looking for a new deal? . You should have started looking 2 months before, then the mortgage arrears would not have been a problem. The CCJ would have been. So to put it bluntly, your mortgage arrears are due to your payment going up as you cannot remortgage because of your CCJ which isnt your advisers fault. However you look at this it is not a case of mis-selling.

Everybody has bad luck, have you cut your monthly costs down as much as possible, cancelled sky, broadband etc ?
Have you spoke to your lender? dont bury your head in the sand, make a payment to your account no matter how little, show a willingness to pay, by not paying at all you could face losing your house although I doubt a court would throw you out of your home with children.

I started looking april this year deal ended 1st july, I have cancelled just about everything I can! we dont drink or smoke or go out at all the children have packed lunches at school and i worked my n**s of doing all the overtime i can (60hrs so far this month) to make ends meet. I have spoke to SPML and thay are waiting to see if they can help, in the meantime i am sending them the same amount as i have been for the past 2 years.

beecher

So you're not paying the increased payments? Have you got the agreement of your mortgage provider to do so? I think rather than spending your time worrying about the mortgage you agreed to 2 years ago, you need to look at the situation you're in today, ie one where you are not even paying the interest off on your mortgage - how is that sustainable? Rather than waiting to see what happens, and being angry with the adviser, I think you need to face this head on and seek professional advice. Sorry if this sounds harsh, but this isn't just going to go away and it is your responsibility, not the adviser's.

arkie

If you started looking in April , you should have been able to get a remortgage and therefore you would not have had arrears, when did you get the ccj and how much was it for ? and do you have any more debt ? secured loan?

mac_saver

arkie wrote: »

If you started looking in April , you should have been able to get a remortgage and therefore you would not have had arrears, when did you get the ccj and how much was it for ? and do you have any more debt ? secured loan?

If i could have got a remortgage i would have but everyone i have gone to has said would like to help but cant as in the current climate many of the "risk" lenders are no longer dealing, neither for that matter are SPML my current lenders, The stumbling block is the CCJ for 5k taken out last year by a credit card who i owed money to who have been getting regular agreed payments but took out a CCj, my other creditors are owed in total about 10k but are all happy with my repayments.

neverdespairgirl

mac_saver wrote: »

I started looking april this year deal ended 1st july, I have cancelled just about everything I can! we dont drink or smoke or go out at all the children have packed lunches at school and i worked my n**s of doing all the overtime i can (60hrs so far this month) to make ends meet. I have spoke to SPML and thay are waiting to see if they can help, in the meantime i am sending them the same amount as i have been for the past 2 years.

Have you posted on the debt-free wannabee board here on MSE? They are a really helpful, friendly bunch, and great at helping you save money.