Yorkshire BS mortgages - any experiences?

dwsjarcmcd

peterg1965 wrote:

Monkey writer.....
I posted a thread on here a couple of weeks ago about my experience with trying to Remortgage with YBS. Its a long story, and whilst my experience with the local YBS branch was actually favourable it was their appointed valuer who caused me lots of pain and grief...in fact £605 worth of it!

It may be because the YBS is relatively small and asks its valuers to be cautious but the valuation on my house came in at nearly £100K less than I thought it should be and it therefore meant that the Loan to Value percentage was too high for the mortgage. As a comparison I am with Nationwide and their computer based house price index valued my house at £407K based on original purchase price and geographic location. This is a bit rough and ready and I actually think it is over optimistic but I personally put a value on my house of £380K. The man appointed by the YBS valued at £285K despite evidence that similar houses to mine had sold recently for much more. It cost me £410 in wasted valuation fee and £195 in lost product reservation fee!

So in essence be a little wary of their valuation process, I may just have been unlucky!

I have responded to this before and will do again. The Yorkshire, in common with all other lenders obtains INDEPENDENT valuations. It does not instruct valuers to do anything other than give their opinon of the market value. They don't employ the valuer and I can GUARENTEE that no instruction was given to be cautios or, for that matter bullish.It is not the Yorkshire's fault this valuer downvalued your property. Indeed there is a resonable chance that had you talked to the valuer, you may have achieved a compromise with them, given any evidence you had (which from what I read should have been easy to do)
I really think you should stop tryingto shoot the messanger.

monkey_writer

well we have a meeting with a YBS mortgage advisor tomorrow at their Strand branch in London to hopefully apply for their mortgage... so let's see what happens!

njsb14

I have been with the Yorkshire Building Society (YBS) since 1996, at the time I was working at a leading Building Society (not YBS) and could have got a staff deal. Some friendly Senior Executives at my Building Society advised me to look at YBS rather our own staff deal, was the best advice they gave me.

Been happy with YBS for the last 10 years, initially as a fixed rate first time buyer mortgage (the YBS branch manager at the time was able to extend the salary multiples to give me a larger mortgage as my employer was able to give dated increases for future salary - not sure the branch managers still have that flexibility), then switched to YBS Offset product when it was launched 4 yrs ago, and have saved quite a packet. I have now set up YBS Offset plus to link my parents savings to my mortgage, to reduce my mortgage payments.

Can whole heartedly recommend them, the branch staff are always friendly and helpful, some of the call centre staff do need more training, but you can always ask for a supervisor. They are a UK based call centre in Yorkshire and via the https://www.saynoto0870.com website you can find a normal (non 0870/0845) number that they answer.

Also check out the awards they keep winning. Their offset is very simple, but does lack some of the banking facilities others provide, but simple to understand product.

cloud_dog

njsb14 wrote:

Their offset is very simple, but does lack some of the banking facilities others provide, but simple to understand product.

Looking at their website the 'offset' account is termed an 'Offset Savings Account" although winthin the details it states that you can set up direct bedits and standing orders for the account.

Can you please clarify what aspects the accounts lack, over and above a normal current account, i.e. debit card, BACS payment facilities, etc.

Thanks cloud_dog

monkey_writer

well, we went along, expecting everything to be simple - their website said we could get £125k... but the guy in the branch said we could only get £109k. He's going to try and make a case to head office for extending our lending but it looks like YBS are out the window for us.

Which other lenders will give 4 times your income - or base it on affordability rather than income? I know Abbey do... but their interest rates are horrible...

njsb14

cloud_dog wrote:

Looking at their website the 'offset' account is termed an 'Offset Savings Account" although winthin the details it states that you can set up direct bedits and standing orders for the account.

Can you please clarify what aspects the accounts lack, over and above a normal current account, i.e. debit card, BACS payment facilities, etc.

Thanks cloud_dog

They have 3 types of products linked as the offset offering;

1. Offset Mortgage Account - similar to normal mortgage, i.e. get annual mortgage statement, showing amount outstanding, amount of interest added minus monthly payments made, also shows the amount you have saved by offsetting savings, it then shows the monthly payments that will change each March. You can set up the Offset mortgage in two states - either Gross, fixed monthly payments, where the overpayment benefits of offsetting can reduce the length of the mortgage or Net, where the length stays fixed buy your payments change. Personally I have gone for Net, so rather than pay off mortgage, I am building up Savings pot, so have access to it if necessary.

2. Offset Savings account - you must open at least one of these and upto a maximum of three linked offset savings accounts, (see note below). This account comes with a sort code, so you can send money into the account electronically, and you can set up Direct Debits to pay out bills, etc. You are provided with a 'LINK' compatible cash machine card to withdraw cash, but it is not a debit card. You do not get a cheque book with this account. They do provide On-Line access, which allows you to see the offset savings and mortgage account. On-Line you can send electronic payments to pre-set destinations, to register new destinations, you type in the destination on line, which generates a form to print out, sign and return to them by post, they will then set up the destination, so you can use it in future (but obviously not immediately due to snail mail part of process). I think you are also limited to the number of destinations you can have (from memory it is max 3 internal yorkshire accounts and 3 external destinations i.e. other banks, on each Savings account you have).

3. Offset PLUS Savings account - you can open up to two of these (see note below, re max three savings), this is where you link other peoples savings (i.e. parents, generous friends) to your offset mortgage account, they have full control of the account, you can't touch the money - although online you can see the balance, they get zero interest, but you save the interest off your mortgage (offset), this is a passbook account, i.e. only make deposits and withdrawals via traditional branch methods or possibly via post.

Note you can hold a maximum combination of three offset savings accounts, i.e. 2 Offset Savings accounts + 1 Offset PLUS savings account, or 1 offset savings account + 2 offset plus savings accounts.

So main points, Yes to Direct Debits and Electronic payments, No to Debit Card and Cheque Book.

Long post, but hope it explains a few points.

Personally the way I use it, is I have Offset Savings accounts - one for my everyday use (salary in, bills out) another offset savings account for saving for specific items and one Offset Plus Savings account - linking my parents savings in. I then have a First Direct Cheque account for other use (cheques in and out - as HSBC branch is a lot closer than Yorkshire branch) and I push money as needed between the Yorkshire Offset Savings and the First Direct account.