Need help with letter to bank regarding mortgage!

sugarsugar_2

Hi everyone

I am new so apologies if I seem a bit simple to all this!

Basically my MIL & FIL have been struggling financially, and last year they contacted their bank (Natwest) by phone and asked for a 3 month mortgage holiday, which was agreed.

Since then they have had further trouble and so have decided to re-mortgage. However when they applied for the re-mortgage they were refused due to 3 months of mortgage arrears. They don't really understand why this is showing as arrears, as far as they were concerned it was a payment holiday and nothing was explained to them at the time that the mortgage had actually been deferred and this would affect their credit rating!

Neither of them are very literate but they want to write a letter of complaint to Natwest as they feel they were tricked and would like ther credit rating repaired, and they have asked me to do this! I have agreed (wanting to get some brownie points with them as we have had a frosty relationship previously!) and have tried drafting a letter out but to be totally honest I am rubbish at writing official letters and always sound a bit dumb!

So what I am asking is for some help wording a letter to the above effect from one of you very clever and helpful forum users! Thanks for reading.

chivers1977

Dear {insert name of CEO}

I am writing in relation to our telephone call to your Mortgage Servicing centre last {insert month} regarding the above mortgage account number.

During the telephone call we requested that you grant us a payment holiday in order to better organise our finances. We were pleased that this was granted.

We have recently decided to remortgage to consolidate/ reduce our payments {delete as appropriate} and were very surprised to be declined due to three months of mortgage arrears. At no time during the call when the payment holiday was arranged were we informed that any detrimental information would be recorded against our files held with the credit reference agencies. However it appears that you have registered adverse information regarding the agreement that you made with us.

Please arrange to have our telephone call listened to. If, as we believe, we were not informed that you would be registering adverse credit information please cleanse our records accordingly. This will allow us to move on with our plans.

Many thanks in advance for your attention to this matter.

beecher2

Why not phone first and follow it up with a letter if you don't get anywhere.

sugarsugar_2

Thank you both for your swift replies!

They have called Natwest already who have pleaded ignorance.

That wording is superb, thanks so much for your help.

beecher2

What did Nationwide say in the phone call, because I think you might want to change the word to challenge their position.

As an aside, if they're having financial difficulties there may be other factors stopping the remortgage. Someone in authorised arrears and perhaps struggling with other credit problems isn't going to be a great proposition. Would encouraging them to speak to a broker be a good idea?

sugarsugar_2

Thanks beecher, I know they have arranged an appointment with a financial advisor for Thursday, I will suggest they speak to him first before sending the letter and tweak it if necessary.

chivers1977

What they need to be aware of is that the call/ documentation that was sent out may prove them wrong. Particularly those who are financially naive sometimes only hear what they want - ie no payments for 3 months.

maninthestreet

Mortgage Holiday = Approved Arrears.

wodgerdodger

Agree with maninthestreet the arrangement is very much like an authorised overdraft as against an unauthorised one. The fact is though the debt is 3 months greater/larger and would show as such on any credit search as 3 months late.

I presume the inlaws did not receive arrears letters nor admin charges/penalty fees during this period?