we;ll be paying mortgage past retirement

judles1

banked with RBS since 16 and always took loans,credit cards etc with them.Been following advice on reclaiming ppi on these but finding more & more discrepencies.Took mortgage with them in 2000,life assurance arranged by solicitors,moved to C&G (arranged by financial advisor)in 2002 with loan attached.(F.A arranged life assurance).Remortgaged again with C&G in 2008 with lge loan attached.Only just arranging life assurance for the extra amount & noticed life cover dates ended a year prior to mortgage end dates.Now realized mortgage and 1st loan dates end 1 year after husbands retirement at 65!Obviously need to let C&G know but confused that they didn't notice sooner.RBS had wrong term 1st & C&G followed suit. After increasing in 2008 and paying more per month, I,m worried about increase in payments to knock 1yr off term and any fees incurred for making alterations as we're on 5 yr fixed rate with penalties.Does anyone know if I can make a complaint & who a complaint should be made to.Totally confused and finding it harder to trust any advice previously given!

Radiantsoul

I can't see who you can complain too. I would imagine people would complain if you couldn't get a mortgage past 65...

Ian_W

Calm down dear - it's only a mortgage!

How old is your husband now? Unless he is 65 before 2024/6 his retirement age will be 66 or higher - HERE.

Even if he is able to retire at 65 why panic now? You can reduce the length of your mortgage by 12 months when your 5yr deal is up in 2013(?) - after all your lender knows your OH DOB and the end date of the loan. Obviously may be a good idea to get insurance sorted if you don't need to shorten the term but hardly a mad rush to do it.

You could complain - but who to and about what? Your hubby for not realising when he's 65? Most of us men don't like to think that far in advance!

_Andy_

If you didn't want the mortgage to take you past retirement age why did you agree to a mortgage doing just that?

judles1

Thanks guys, did I forget to mention I'm a dunce when it comes to finances.(only just realised it myself!:eek:). Is retirement age still 65? Showing my pitiful ignorance on more than just finances now.We let the bank work out mortgage term & it was supposed to finish when hubby turned 65. Didn't even think it was possible or legal to have mortgage past the age of 65! If it is, none of the fairies in my garden told me!!!:rotfl:Hubby is 52, 5 year fixed, 8 years to sort. worry about it later then.

happybroker

Tackling this now rather than leaving it will have less of an impact on the monthly payment and the fact that you have a tie with the early repayment charge shouldn't matter, C&G should still allow you to reduce the term providing they deem it to be affordable, especially given that you are looking to bring the term within "retirement age", whatever that means these days.

[Deleted User]

Another simple option is simply to build up some savings over the next 13 years to ensure that you have enough to live on if the mortgage goes on for a year after retirement.

Wutang_2

CR10 wrote: »

Another simple option is simply to build up some savings over the next 13 years to ensure that you have enough to live on if the mortgage goes on for a year after retirement.

If it were that simply that simple then these people would have simply started doing this and simply not asked what they need to do.

[Deleted User]

Wutang wrote: »

If it were that simply that simple then these people would have simply started doing this and simply not asked what they need to do.

...or it may "simply" be that this option had not been considered which was why I mentioned it.

dunstonh

Does anyone know if I can make a complaint & who a complaint should be made to.Totally confused and finding it harder to trust any advice previously given!

Lots of people take the mortgage past their retirement age. Its not mis-sold or bad advice.

Its not as common as it was a decade or two ago but thats because inflation isnt as high. People used to use a longer term to keep their repayments lower and then by the time they got to retirement, inflation had turned the small amount remaining into a tiddly amount in real terms and could be paid off out of the pension lump sum or even excess earned income.

It is also impossible to plan the mortgage to end at the same time you retire. So, there is a little leeway given for those that do want it to end beforehand. Typically this is up to one year.

However, as you remortgage over the years, its not uncommon for the end date to get rounded and pushed back some months.

Didn't even think it was possible or legal to have mortgage past the age of 65!

It is possible. It is legal and it happens often.

In your case, the mortgage amount outstanding when your husband it 65 is likely to be around £500-£1500. However you are overpaying now so chances are you will clear it before 65.

So, there is no issue here. Nothing to complain about

judles1

thanks for all the advice everyone. i'd been looking into ppi on bank loans and have been finding so many discrepensies all over the place.got freaked out when i realised insurances we did have weren't needed,insurance we should have cover for we haven't got,some finish prior to loans etc.etc. husband works for civil engineering firm and expected retirement age was 65.tough work & extremely long hours & thought we would be financially sound enough for retiring a little earlier and pays chunk of salary into pension.Finding out bit by bit how exposed we've been with level of cover & trying to sort out.(including £50K life assurance on mortgage).No cover anywhere on me and now having to undergo medical tests before i'll be accepted as family medical history makes me high risk!(child with disability that husband would have to look after 24-7 if I croak tomorrow with policies that don't cover me...no home left because mortgage wouldn't be paid.) Scary and trying to get to grips with things.Shouldn't get so stressed (stress alone is going to do me in!!!).Mortgage cover at least is in the pipeline.If test results are okay & accepted,it'll probably just mean a higher premium. Been posting queries here and there as they arise to check how I should deal with them.Feel a complete fool at how naive & gullible i've been and angry at advice and recommendations bank has made.
Who is really to blame? My own stupidity over financial matters or the banks greed for profit and big bonuses that they would sell such overpriced and inadaqaute products. enough complaing, win on euro lotto & I can sort it all as well as tackle world hunger! Thanks again for responses & have a good weekend.