Question about Northern Rock Together Mortgage

cwoolhouse_2

Hi,

I'm hoping someone can help me with this. I'm clearing out some old docs, and I found my original agreement for the unsecured part of my Together mortgage. I had a quick scan through it, purely for something to do, and I noticed the following:

The Interest Rate is: a) the rate stated above which is fixed until 01/10/2005 after which date it is guaranteed to be below our Standard Variable Mortgage Base Rate.

It's never been below the standard rate. It's always been at exactly the same rate.

I took this mortgage out in October 2002 (and still have it). Is there any query I should be making based upon this guarantee never actually having been met?

Thanks,

Chris.

Let_Us_See

Fifty perople have read your post and yet not one has responded. Course of action bleeding obvious? At least it is to 50 people.

CONTACT NORTHERN ROCK

cwoolhouse_2

Hmmm.

No response, or irritating sarcastic response?

It's a tricky one.

Let_Us_See

Sarcasm every time.

cwoolhouse_2

Are you being sarcastic?

kieran1979

@Let Us See - why bother?

@ cwoolhouse - what rate are you on at the moment? When it says less than SVR it will be 0.01% less, so not much. In real terms a case of a couple of pounds a month on an average mortgage.

Just check, are you definately on 4.79% SVR or are you on 4.78%?

Let_Us_See

Coffee break. Besides I have a helpful disposition.

DebtMagnet

If it helps at all cwoolhouse, I am in the same boat and when I went on to the SVR, I too thought the same as you. However on checking my rate I can confirm that it is in fact 4.78% as kieran1979 suggested.

It's not a lot but factually correct so nothing we can do.

Quite why NR's SVR is still so high compared to other lenders is another question all together, and one that is irritating me daily when everyone I know with other providers is having the time of their life on rates in the 1's and 2% bracket

Cheers,
DM

cwoolhouse_2

I called Northern Rock, as per Mr Helpful's advice, and they confirmed I was actually on 4.78% for the whole loan (sec and unsec). However, looking at my 'offer of loan' docs, it states that once the fixed rate period finished, I'll be on the Northern Rock Standard Variable Rate (not the Together Variable Rate I was told about today).

I don't know whether to push this or not, as if they're smart, they'll say "we've been undercharging you by 0.01% for 48 months then" so in essence I could be worse off. I don't know whether to go back to them with the offer of loan doc. Any thoughts?

Oh, and their SVR is so high because they want us all to pay off our mortgages, so they can pay back the government.

aggcardiff

Hi! Does anyone out there know what will happen to Northern Rock mortgage customers? Should we be worried at all?

FCRangers

I'm on one and the fixed rate ends Aug 2010. Problem I have got is I bought the house at 82k and by 2010 our outstanding balance will be about 76k. This is a poor loan to value. So what happens? I go on the NR Standard rate just intime for interest rates to go +10% (I'm guessing).

What would you do?