Norttern Rock

engineer1_2

I was informed by northernrock last October that my current mortgage deal was ending on Feb 1st 2009 and they advise that I look at a new lender. I have now done this with Abbey on a 5 year fixed deal which I am happy with but when I was asked to retrieve my redemption figure from northern rock I found a figure of £1000, help with costs added to the figure. When I questioned this with northern rock they explained that this was given to me when i originally set up the 3 year deal in 2006, but the "help with costs" was a deal for 3years 6months therefore I was finishing it too early therefore they had the right to add it onto the redemption, but I explained that it had been them that asked me to move lender and I was free to do so on Feb 1st, their answer was tough you should have read your original mortgage details, so please be aware of this under hand charge. If you know what I can do please advise.

feisty1

They didn't ask you, they suggested you may look for another deal however you could have done as many peope have and stayed on the svr currently 5.4% (possiby with another drop planned)

This is not an underhand charge 1k HWC's always had a tie in of 3yrs & 6months.

Your choice is take it or leave it..............

beecher

feisty1 wrote: »

They didn't ask you, they suggested you may look for another deal however you could have done as many peope have and stayed on the svr currently 5.4% (possiby with another drop planned)

Their SVR is 5.09% from 1 Feb. This was announced yesterday.

engineer1_2

I understand that they explained that i could stay with northern rock but they would not be competative. If I had know of the extra 6months so not to be charged the £1K i would of stayed but i have already paid £995 to abbey set up charge non refundable.

_Andy_

engineer1 wrote: »

I understand that they explained that i could stay with northern rock but they would not be competative. If I had know of the extra 6months so not to be charged the £1K i would of stayed but i have already paid £995 to abbey set up charge non refundable.

That is your responsibility - the tie-ins and T&Cs were detailed in your original KFI and mortgage offer. If you chose not to check these this isn't NR's fault.

beecher

engineer1 wrote: »

I understand that they explained that i could stay with northern rock but they would not be competative. If I had know of the extra 6months so not to be charged the £1K i would of stayed but i have already paid £995 to abbey set up charge non refundable.

The extra 6 months payment must have been detailed in your original document so there's not much you can do about it. I wonder if there's any way Abbey would hold the rate for you for 6 months? No idea if this is at all likely, but it is worth a phone call?

engineer1_2

I understand that I should have read the small print but this deal was set up by a mortgage advisor and in 2006 I looked over the details and signed on the dotted line thinking it was a three year deal as confirmed by northern rocks letter last october but one does miss the small details. What problem would it have been for northern rock to mention this on their original letter, we are all individual customers.

feisty1

[quote=engineer1;17702047]I understand that I should have read the small print but this deal was set up by a mortgage advisor and in 2006 I looked over the details and signed on the dotted line thinking it was a three year deal as confirmed by northern rocks letter last october but one does miss the small details. What problem would it have been for northern rock to mention this on their original letter, we are all individual customers.[/quote]


This is taken from a NR Together KFI in 2006 & yours woud be no different, as they're system generated. This is the 1st document the advisor would have given to you once they had sourced the deal

10. What happens if you do not want this mortgage any more?

X
Early repayment charges

If you transfer to a new mortgage product with Northern Rock or repay your mortgage iin full beforei1 May 2009iyou will be charged a Product Early Repayment Charge. In addition, if you transfer to a new mortgage product with Northern Rock or repay your mortgage in full withini3iyearsi6imonthsiof the start of the mortgageiyou will be charged a Help With Costs Early Repayment Charge.iA discharge of mortgage fee will also apply if the mortgage is repaid in full before the end of the mortgage term.

Y

engineer1_2

Thanks for the statement on the northern rock offer of loan document, believe me I have read this inside out now, trouble 3 years too late. As I have stated and have read on a number of concerns regarding mortgage details on this forum we all do not read the small print and I took the finicial advisor word that it was a three year deal and did not fully read all the in and outs. Also it states on the front of my NR offer of loan 3 year flexi fixed, so maybe that it why I did not look into it more closely. I know they have me by the short and curlies but I am only informing other people to look a little more closer. I do not need the "take it or leave it attitude" the forum is to advise not ridicule.

beecher

engineer1 wrote: »

I do not need the "take it or leave it attitude" the forum is to advise not ridicule.

I agree - it isn't much practical help. I'd urge phoning the Abbey to see if it is possible to delay the move for 6 months. Good luck

feisty1

They don't have up by the short & curlies, I would support you if this was the case, the fact remains u could have had 6 months at current svr 5.4/5.09 & 1k(free) if you had taken the advice of an advisor before moving to Abbey. Now you have an extra 1k added to the lifetime of yr mortgage.

Whatever yr job is, how could I come and do it after reading an internet forum, the same goes for mortgages.

Many many of you on here who are going direct will find this out at a later date.......I have just been in a discussion re' one of the biggest lender's to whom people are
going direct with, this lender is insisting clients move current accounts, direct debits etc and it is causing major problems with missed DD payments etc. Also the waiting time approx 12 weeks (3 months mortgage payments) when they're waiting for their deal (in many cases this adds up to false economy)

Sorry but,..........yr case is just another example of what happens when people become DIY armchair mortgage advisors!