Flipping from repayment to interest only

misteralan

Hi there, I'm a first timer on this forum so sorry if i waffle.
I have a mortgage with the Woolwich. One of the reasons we took the mortgage was we could flip form repayment to interest.
As we are expecting a second child we called them up and asked to flip to interest only. But we have been told that we are not allowed to do this as they have changed their policy!
Surely this is wrong! If we had known that they would change this policy then we would never have taken the mortage in the first place.
Who can I complain to? Is this illegal?
Any advice would be greatly appreciated.
MA

_Andy_

Not what you want to hear but there's nothing illegal about it - from a lender's perspective it's very sensible.
It would always have been at their discretion anyway.

opinions4u

misteralan wrote: »

Who can I complain to?

You can complain to the lender and ultimately, after 8 weeks, to the Financial Services Ombudsman.

But complaining about what is effectively lending policy is invariably a waste of time and you won't get anywhere.

Is this illegal?

If it says that they will let you do this in the terms and conditions then you will get a ruling in your favour. If there is no such explicit right, then they are behaving reasonably and fairly.

Is a payment holiday an option?

The financial landscape has changed significantly in the last 2 years.

Here's a link to a similar post.