Scarborough BS and Skipton Mortgage DD rip off

andrewmp

MarkyMarkD wrote: »

Oh, here we go again.

If I wasn't using a laptop that had Open Office (c**p) instead of Excel, I would prove it with a spreadsheet. But Open Office crashes if I try to do it.

It's 3 days interest, every month, forever.

It's neither just 3 days one-off, or a whole payment bearing interest forever.

It's not a lot of money.

Scarborough members have no choice - it's how Skipton's systems work.

You are wrong, you think you're right but you are clearly wrong, I have paper work to prove it. I wouldn't give a toss about three days interest being added and the mortgage completion date being moved back three days. Instead, what they are doing is moving the completion date forward 27 days and treating it as a payment holiday. My monthly payments have therefore gone up by about 0.8% for the remainder of the (now 27 days shorter) term. It's wrong and anyone who claims otherwise is wrong.

andrewmp

fineanddandy wrote: »

Well, whilst waiting for an illustration of how much it is going to cost me, I have taken delivery from the Scarboro as to my new monthly DD, and it has gone up from £301.62 a month to £310.24 a month.

Bearing in mind i have 'missed' the March payment of £310.62 which i will take off, I will pay roughly an extra £824 in interest over the remaining 125 months left.

Any of you guys still think that is a mountain out of a molehill?

Wow, you've done even worse than me out of this. Mine has gone from £369 per month to £372 per month. £3 per month I don't want to lose, that's the cost of 13 days broadband access. It's ROBBERY!

Robert_Sterling_3

To help me give this matter further consideration could someone please tell me exactly what the scarborough said about the change of "due date" and what your options were. Thanks you very much in advance.

andrewmp

fineanddandy wrote: »

Andrew, all you can do at the moment is what I and others have done, and instigate the complaints procedure, and put it in writing too, and wait on the response..and if after that, if your not satisfied go to the Ombudsman.

Though I agree, it feels as though we have been mugged, and the FSA are nowhere to be seen!

Yeah, you're right. I thought my payments woudl reduce by a few pence due to the new daily interest calculations (over the existing monthly). The main issue (which most people can't grasp) is that they've moved from payment in arrears into payment in advance (in line with existing Skipton account holders). Why should they be allowed to this. I'm tied to them with a 5% early repayment charge for the next 9.5 years, I can't suddenly dictate new terms on a whim, why shoudl they?

I agreed to a mortgage product collected in arrears, I'm now on a product collected in advance, this move will cost me over £1000 over the full 30 year term.

Sorry for the multiple posts and rants.

fineanddandy

There you go Robert and Slough,
(http://forums.moneysavingexpert.com/...1&postcount=30

andrewmp

Robert_Sterling wrote: »

To help me give this matter firher consideration could someone please tell me exactly what the scarborough said about the change of "due date" and what your options were. Thanks you very much in advance.

It has already been posted as a jpg, the exact letter we all received.

They are being very very shifty. Scarborough took payments in arreas on the 28th of every month. The payment schedule for this year should have been

28th January
28th Feb
28th March
28th April
28th May
28th June
28th July
28th August
28th September
28th October
28th November
28th December

12 Payments - one per month.

Now it will be

28th January
28th February
1st April
1st May
1st June
1st July
1st August
1st September
1st October
1st November
1st December

11 Payments in year. They say we are therefore "missing" March's payment. Whilst this is true, we are paying our April payment 27 days earlier thefore we have to find two months payments out of our monthly pay packets or be seen as "missing" a full month's payment. This is costing me £3 per month for the next 29.5 years.

£3 isn't a lot, I agree, but why didn't they just "move our March payment back 3 days, give us the option to pay three days interest (about £25 in my case) and keep our on going payents the same with a mortgage that ends 3 days later? It doesn't take a genius to understand why, £1000 over £25, I wonder which one I'd rather have, time that by even a 1000 customers and you're talking millions!

fineanddandy

andrewmp wrote: »

I'm tied to them with a 5% early repayment charge for the next 9.5 years, I can't suddenly dictate new terms on a whim, why should they?

Sorry for the multiple posts and rants.

I looked at the T and C's and it is scary what they can do TBH!

The key thing is I suppose is 'is it fair' and on that point I would say not, especially as the merger proviso shouldn't put Scarboro members in a worse position, though it seems to be overlooked in regards to this. My impression is that the BS are looking at this from a monthly angle, rather then a chronological angle..as you said and I have, it is 3 days late!:eek:

piptastic

I too am a long standing Scarborough customer they shafted me once before over an endowment mortgage and despite looking elsewhere i re mortgaged with them for a fixed 2 yr deal which at 5.89% comes to an end in May 2009. I will probably pay the extra payment as my mortgage isnt too high but it is the prinicpal of the matter. I have looked in both Skipton and Scarborough websites for future mortgage deals and they have very little info online (or at all for that matter ie no tracker mortgages at all!)
I too am off i've had enough of the Scarborough and their non customer friendly methods!!!!

andrewmp

sloughflint wrote: »

If you are quite sure that the term has been shortened by 27 days ( not obvious from the letter) then the increase in your payments will be a combination of the effect of the three days interest on the Feb balance between 28/3 and 1/04 for the remaining term and the shortening of the term.

Fineanddandy, how about just linking to your previous post rather than have the jpeg mess up another page?

I'm not sure to be honest, nothing has been explained yet. It's the only way they could get away with it legally I reckon.

If my term ends three days later than it would have then they're taking the pee even more with their extra charge of £1000 over the term.

I suspect, eventually, after a lot of bad press and time spent by their customers, they will relent and allow the term to end three days late and three days interest to be added to the account (or repaid). This was the most obvious solution and it stinks of greed that it wasn't offered.

Robert_Sterling_3

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