tracker mortgages- Rip off

kmmr

opinions4u wrote: »

The small print in the T&Cs allows Halifax to collar a tracker at a minimum 3% rate.

When they threatened to enforce the collar the FSA (I think, rather than the FOS) threatened court action because the wording wasn't in the Key Facts.

Not a collar... a floor! I wish the FSA would stop making this mistake too - it doesn't help!

Just one of my pet peeves.

hillcats

Just one small problem I see here...
Having read this thread completely I notice you state: "Bank Base Rate" which would suggest your own lenders bank base rate, never have you mentioned "Bank of England Base Rate" which is where I think you have been had. ! Sorry !

Notice my signature, my mortgage is based on the B of England base rate.

ju5tice

Norwich & Peterborough Building Society clearly and legally signed up to:


the "Bank Base Rate" to mean BANK OF ENGLAND'S UK REPO RATE.

You can't have much clearer than that. The last 3 years my mortgage payments have reflected this. ITS A RIP OFF!

Heyman_2

I am watching this thread with interest (pardon the pun) - as I've not seen this story produced anywhere else and I am amazed that N&P think they can get away with this. Are they going to raise the rates on their 'Fixed' products as well?

In the past couple of years the FSA has put a stop to the banks charging higher Mortgage Exit fees than agreed on original contracts, which is a much smaller issue than this - I can't believe it's going to simply allow N&P to enforce changes to Mortgage Contracts already agreed even if they do try and cite some obscure wording in the contract as justification.

I mean where does it end? I would have thought that this possibility of variation would have to be in the Key Facts document as well.....

abaxas

Could they be using the 'significant change in circumstances' argument?

Most mortgages have a clause stating you require to inform the lender in ANY change of cirucimstace (very vague I know). It's the total !!!! coverer, sorry sir but you didnt tell us about your wife changing her job.

Gorgeous_George

Ok, I've just phoned N&P.

I am advised that in late 2004/2005 they introduced a floor for new tracker mortgages only. Mortgages taken before late 2004 have no floor and they are not introducing one. They said that they wouldn't be able to do that unless you move home or change products.

I hope that eases your concerns.

GG

ju5tice

Unfortunately, N&P are not telling the whole story !

I, and many thousands of other customers have a letter stating the facts which are contradictory to the verbal "assurance" they have given you.

This is the same Chief Executive who gave a public commitment (see post 14)... and then went back on his word.

Gorgeous_George

Maybe so. I only posted what they told me.

If it was me who had received the letter, I'd be recording my telephone calls and looking forward to my day in Court.

GG

motmartin

Been following your tread and today spoke to N&P regarding them forcing us to choose between two options and replying by the 8th January. I explained that I did not agree with any of the options and that it was unresonable time scale due to christmas period. N&P agreed to extend the period until the 22nd January. I have lodged a formal complaint by phone and they are sending complaints forms. I suggest everybody phones and lodges a complaint about this unfair change of agreement being imposed by the society.

Gorgeous_George

No offence but I'd like confirmation from the BBC or a reliable long term MSEer. Is it just newbies that N&P are targetting?

GG