Woolwich permission to let debacle

researcher2

About 6 months ago I arranged a residential mortgage with Woolwich (I got in just before the 2% rate fall). At the time, I knew we had illness in the wife's family (who live abroad), so I checked whether they would give permission to let if we needed to do so. The broker told us we just needed to pay £100 per year and it would be OK.

Now wife's father has died and wife's mother needs brain surgery, so we urgently need to relocate.

Woolwich now say they can only consider permission to let after we've been a customer for 6 months.

They say it's in their terms and conditions (it isn't - it's their policy)

I've engaged the mortgage broker who are trying to help me and am looking into whether the financial ombudsman might help.

Does anyone have any advice as to what I can do?

Thanks

Richard

payless

IMO , no broker should say the premission to let will definately be available with any lender on a residental deal , as its a changing siuation.

I can't see how the lender is in the wrong.

Did you get it in writing or was it detailed in your factfind.

Was it a purchase or a remortgage

researcher2

It's a re-mortgage. We've lived in the property for 2 years.

I need to look through the paperwork, but I'm pretty sure they detailed the need to get permission, and the fee - but not the 6 months requirement.

I'm trying to get Woolwich to look at this on compassionate grounds. I would guess that their 6 month rule isn't related to risk (4 months, 7 months - what difference), but is a commercial policy designed to deter people from using a residential mortgage for B2L.

My main problem is trying to speak to someone at Woolwich who is able to take this kind of call - rather than a call centre person who just spouts what their 'terms and conditions' (i.e. their policy) is.

They don't seem very flexible. It seems I have to wait until 6 months have passed and then send a request - which they will take up to 4 weeks to 'consider' and then hope they don't find some obscure reason why they can't give permission.

I'd be willing to switch to a B2L mortgage. I know this would cost an arm and a leg, but at least I could get it sorted and we could all leave as a family to look after the wife's mother. Again, I need someone within Woolwich who I can have a sensible conversation with and who will offer me solutions rather than 'policy'.

If anyone knows a 'human being' within Woolwich, I'd be very grateful for their contact details.

chivers1977

You won't be able to get PTL unless your broker can evidence who he spoke to who gave him incorrect info that he then gave you.

If you want to go to BTL, then you would be stung with final repayment charge £275, any early repayment charges and a new product fee at least on the BTL.

I know plenty of "human beings" within Woolwich being one of them but just because you don't like the policy doesn't mean that anyone would be able to change it for you....even if extenuating family circumstances.

Call 0800 022 4022 and raise a complaint if you wish. It will then be passed through to customer relations. Please don't get your hopes up.

If you feel that your broker has misled you, then raise a complaint against them if you wish to claim back the ERC/FRC. Again please don't get your hopes up.

robertjonesuk

to get ptl you must have made at least 6 payments to your mtg. woolwich will consider your application and should agree it (normally). after the period of ptl you will have to move back to the property or change your mtg into buy-to-let one.

there is no point going to the broker, as broker only applied for a mtg for you. he doesn't work for barclays/woolwich thus will not be able to arrange it.

you can speak to someone in a barclays branch. ask for a woolwich mortgage advisor. they might put you on the phone, but tell them that you didn't have any luck on helpline and if it's possible for them to help you (not to sort this out but HELP you).

they should be able to do that. at least that's what they did in my branches.

BigDunc

robertjonesuk wrote: »

to get ptl you must have made at least 6 payments to your mtg

Does this mean six months must have elapsed, or that you have paid six payments. If the latter can you offer to pay the next two payments early?

robertjonesuk

BigDunc wrote: »

Does this mean six months must have elapsed, or that you have paid six payments. If the latter can you offer to pay the next two payments early?

you must have made payments for the last 6 months, not payments worth 6 months.
also in the past it was 9 month, so please check this out.

silvercar

to get ptl you must have made at least 6 payments to your mtg. woolwich will consider your application and should agree it (normally). after the period of ptl you will have to move back to the property or change your mtg into buy-to-let one.

So the answer is to let the property and ask for CTL as soon as the time limit has passed. Being you are not going to be repossessed within the first two months of the tenancy (as you would need 3 months of arrears before the lender would start repos proceedings) your tenant will not be at any risk.

chivers1977

be very careful doingg the above. You will need to send in your tenancy agreement for the ptl. I work for them so I have given a full response above.

researcher2

Thanks for all of your comments.

I did finally speak to a very helpful and understanding senior manager within Woolwich who agreed in the circumstances to apply some discretion.

silvercar

Glad it worked out for you. Nice to know there are humans around happy to help.