Self Build Accelerator Mortgage

democat

Took out above mortgage in 2006 which was arranged by a self build specialist company. I recently contacted the lending bank for a further advance to complete the project. The bank informed me that they could not approve a further advance as the mortgage I have with them is not for a self build .:eek: Can anybody suggest my next course of action?

VIGILANT22

You should go back to whoever you took it out with, was it Build Store?

democat

Thanks for prompt response. Yes.

VIGILANT22

Don't panic, Build Store probably had an arrangement with the lender that call centre staff wouldn't be aware of....Just call Build Store in the am.......

democat

Ok. thanks again

JA1000

Hi I would be interestested in your outcome, I thought I had a self build mortgage with RBS arranged through buildstore. I now see my contract is a commercial loan. I now have RBS on my back asking for payment back immediately, however, I see from my contract it is a business loan and they have written to me as 'Firm of........'

I am working on the remortgage frantically so out of interest who was your lender.

VIGILANT22

JA1000 wrote: »

Hi I would be interestested in your outcome, I thought I had a self build mortgage with RBS arranged through buildstore. I now see my contract is a commercial loan. I now have RBS on my back asking for payment back immediately, however, I see from my contract it is a business loan and they have written to me as 'Firm of........'

I am working on the remortgage frantically so out of interest who was your lender.

Out of interest, what problems has this caused you?...thks

joolley

JA1000, do you mean RBS or BOS (sorry if that's a silly question). One of the self build mortgages from Buildstore is a 12 month loan from BOS. They expect the project to be finished in that time with full payment of the loan via convential mortgage on the new house.

I found 12 months to be very tight. In the end, we bought a house and move in June. I had worries about the end value of the project and remortgageability in 1 yrs time.

JA1000

joolley

Your are exactly right with the product, here I am two years on and have them chasing me. They expected me to finish within 12 months sell and pay back. News to me I was always going to buy to let, but this crashed. Now trying to remortgage to buy out RBS. However due to their error which even the FOS has not understood it has cost me about £30k. They want their £170k back but I need £200k to cover their error.

Very nasty 'business lending unit'

democat

Neither lender or broker have a copy of the original 2006 credit agreement??

Conrad

The broker is responsible for setting up a deal that was comensurate with your needs.

He cannot simply say he does'nt have a copy - he must keep copies of all vital documents.

Put in a request and indicate you'll need to take this to complaint stage if not satisfied.