Northern Rock cut a scandalous 0.15% from Nov 1st

Thanatos

I am with Northern Rock.

Took out a fixed rate mortgage 2 years ago. When the s*it hit the fan, and they were bailed out we got a letter saying everything is fine, but when the fixed rate ends they will not be able to offer competitive rates any longer as they essentially want everyone to remortgage with other companies so they get paid back quicker and can repay the taxpayer.

Seems to me this is exactly why they cut their rates by a crappy amount.

I am in the terrible position of having a 105% mortgage with house prices falling at an alarming rate and lenders that are not keen on lending anyone cash any more.

Whats the betting that when the time comes to remortgage I have a house worth about 90% of its value now and a mortgage worth 110% of the house value.

Anyone know any mortgage providors willing to lend me more than my house is worth in 3 years time? :rotfl: Nope! i am going to get trapped in nasty "not competitive" variable rate until the house is eventually worth more than the value of the mortgage on it.


I am not bitter. I needed a mortgage at 105% or i wouldnt have been able to get on the property ladder. I rolled the dice. I won when there were 5 interest rate rises one after the other and i was on my cushy fixed rate. Now it seems in three years time I might be paying for that, but i take the rough with the smooth and am preparing for the enevitable now, while i still can.

I suggest the moaners in this thread do the same. Whats life without a challenge or two!:beer:

Leon_W

Which begs the question Noz, why are they offering rates from 5.49% fixed for new borrowers if NR do not want mortgage business ?

You would have thought that they'd close to new business if they didn't want any, not offer a half competitive rate.

Danbo_2

After carefully crafting a petition on the subject to Number 10 myself someone has beaten me to it at:

http://petitions.number10.gov.uk/nr-rate-cuts/

I am sure Northern Rock's trapped customers need no encouragement to sign.

Dylanwing

It's all madness - In a rush to 'solve' one problem, i.e. NR being bailed out by the taxpayer, a further problem is being created by repossessions, which costs the Government financially and socially. I have said all along that the Government has it's nose so far up the Bankers a**es, that it is overlooking the problems at the bottom end, and creating far worse problems for the future in terms of homelessness and family break-ups resulting from this.

chivers1977

signed up on the petition - only 3 signatories!?

Bobbykins

I've signed up as well! I'm fortunate that we have only a very small mortgage and are lucky enough to be able to afford the payments reasonably comfortably at the moment, but I agree with those posters who are protesting about NR's attitude on this.

If they truly don't want any mortgage business, they shouldn't be offering reasonable deals on their web site.

Seems to me they just want to screw the poor unfortunates who have been stuck with negative equity. Talk about kicking someone when they are down. Makes me REALLY mad!:mad: :mad:

magburner

What they are trying to do is balance the risk of their mortgage book - seems really unfair but the taxpayer should not underwrite risky business

Debs12

ive signed now 12...

Trollfever

Why should the taxpayer help folks who did not understand this:

Your home may be repossessed if you do not keep up repayments on a mortgage or any other debt secured against it.

russelleng

16th October 2008 22:30 - Direct from company websites
HSBC Variable Rate - 6.25%
Nationwide Base Mortgage Rate - 6.49%
Halifax Standard Variable Rate - 6.50%
GMAC-RFC SVR - 6.99%
Natwest Follow-On Rate - 7.19%
Northern Rock Standard Variable Rate - 7.34%