bound by an unsigned mortgage agreement?

valerob66

I think I know the answer but wondered what your collective thoughts were, if you had any!

Last year I met with our mortgage lender following the end of a fixed deal and agreed in principal to take out a new 3 yr fixed deal. I didnt sign anything as the mortgage is in joint names and was later sent the contract (offer) for both of us to sign.

We didnt sign the contract as we watched the interest rate tumble and assumed therefore our mortgage would switch automatically to the SVR as per the letter we received reminding us we were coming to the end of the previous fixed term.

I must admit I didnt contact the lender to decline the offer as i didnt get round to it.

Having received a statement several months on we find we are on the new fixed rate which is higher than the SVR and yet we hadnt returned the contract. I have telephoned the lender and sent them a letter but have received no reply. I intend to follow this up as the way I see it they shouldnt have put me on the fixed rate but instead reverted the terms to the SVR .

Am i right to think this?

stebiz

valerob66 wrote: »

I think I know the answer but wondered what your collective thoughts were, if you had any!

Last year I met with our mortgage lender following the end of a fixed deal and agreed in principal to take out a new 3 yr fixed deal. I didnt sign anything as the mortgage is in joint names and was later sent the contract (offer) for both of us to sign.

We didnt sign the contract as we watched the interest rate tumble and assumed therefore our mortgage would switch automatically to the SVR as per the letter we received reminding us we were coming to the end of the previous fixed term.

I must admit I didnt contact the lender to decline the offer as i didnt get round to it.

Having received a statement several months on we find we are on the new fixed rate which is higher than the SVR and yet we hadnt returned the contract. I have telephoned the lender and sent them a letter but have received no reply. I intend to follow this up as the way I see it they shouldnt have put me on the fixed rate but instead reverted the terms to the SVR .

Am i right to think this?

I renewed mine over the phone,on a verbal contract. It is in joint names and I said that I had my wifes permission.

This could be a case of your word against the lender??

Sorry I can't be of any more help but what if the interest rate had shot up!! A judge might see it that you were trying to get the best of both worlds!!

pinkshoes

I'd just phone them up and ask why you're on the wrong rate. If they say you agreed to it, just ask them to send proof of a signed contract, as you are 100% sure you didn't sign up to a new deal as you were contemplating changing to a new lender...

Did you send the letter recorded delivery?

valerob66

Thanks for your input. When I last phoned them they said they would need to find the contract before commenting. I will chaseit up as I think they have made an error here. If I could have agreed by myself at the time then they would have accepted my signature alone. I'll let you know how I get on.