My word against Mortgage Advisor?

phoward_uk

Hello -

I have a dispute with a certain building society . Let me call them the mothers pride.

I went to see a Mothers Pride Mortgage advisor on the 18th May 2009 to arrange a mortgage and receive an "in principal" offer. We were existing happy nationwide customers and had £30 ish k remaining with £10K+ in overpayments. We wanted to borrow for a £250k home and wanted to borrow another £60+k.


During the meeting we explained that we had used the overpayment facility as our primary savings account. We both specifically remember discussing with him how we would use this money at a later date for home improvements as the house we have bought does need some modernisation.

He confirmed that our exiting mortgage account would stay "as was" and run alongside the additional borrowing of £60+k and drawing the money down would not be an issue.

I called the Mortgage service centre two weeks ago to enquire how I could draw the money down as we need it to pay for some significant work we are having done. I was told that we had no overpayments available to draw down. I am sure you can imagine that I immediately felt sick to the stomach as we urgently need the money.

I confirmed with the mortgage advisor on more than one occasion that we didn’t need to draw down the money down before the mortagage completed. Even when I challenged him about the £50 pound solicitor fee for closing down my previous mortgage he confirmed that my mortgage account would stay as it was and the over payment would still be there.

The mothers pride customer relations managers has not upheld my complaint as there is no evidence of my version of events (which in effect he is accusing me of lying and/or being stupid) as the mortgage advisor has stated he cannot remember the conversation but he would not have told us this. I would suggest this is perhaps convenient memory loss. I can promise everyone he did. If he had told me to draw the money down of course I would have done it!

I have been told this morning that it will take 6 to 9 months for my case to be heard by the financial ombudsman.

I am completely disgusted with how they have treated me. I acted in accordance with the financial advice I had received from a qualified mortgage consultant employed by building society. What their complaint department is also in effect saying is that in future all face to face or telephone conversations with their representatives must be tape recorded as only the word of their employee will be believed.
Please can anyone advise how I stand and has this happened to anyobdy else?

Beware of Mortgage over payments as you could easily loose the ability to get them back and especially the mothers pride.

Cannon_Fodder

phoward_uk wrote: »

Hello -

I have a dispute with a certain building society . Let me call them the mothers pride.

I went to see a Mothers Pride Mortgage advisor on the 18th May 2009 to arrange a mortgage and receive an "in principal" offer. We were existing happy nationwide customers and had £30 ish k remaining with £10K+ in overpayments. We wanted to borrow for a £250k home and wanted to borrow another £60+k.


During the meeting we explained that we had used the overpayment facility as our primary savings account. We both specifically remember discussing with him how we would use this money at a later date for home improvements as the house we have bought does need some modernisation.

He confirmed that our exiting mortgage account would stay "as was" and run alongside the additional borrowing of £60+k and drawing the money down would not be an issue.

I called the Mortgage service centre two weeks ago to enquire how I could draw the money down as we need it to pay for some significant work we are having done. I was told that we had no overpayments available to draw down. I am sure you can imagine that I immediately felt sick to the stomach as we urgently need the money.

I confirmed with the mortgage advisor on more than one occasion that we didn’t need to draw down the money down before the mortagage completed. Even when I challenged him about the £50 pound solicitor fee for closing down my previous mortgage he confirmed that my mortgage account would stay as it was and the over payment would still be there.

The mothers pride customer relations managers has not upheld my complaint as there is no evidence of my version of events (which in effect he is accusing me of lying and/or being stupid) as the mortgage advisor has stated he cannot remember the conversation but he would not have told us this. I would suggest this is perhaps convenient memory loss. I can promise everyone he did. If he had told me to draw the money down of course I would have done it!

I have been told this morning that it will take 6 to 9 months for my case to be heard by the financial ombudsman.

I am completely disgusted with how they have treated me. I acted in accordance with the financial advice I had received from a qualified mortgage consultant employed by building society. What their complaint department is also in effect saying is that in future all face to face or telephone conversations with their representatives must be tape recorded as only the word of their employee will be believed.
Please can anyone advise how I stand and has this happened to anyobdy else?

Beware of Mortgage over payments as you could easily loose the ability to get them back and especially the mothers pride.

To be fair to the advisor, he probably spoke the truth as he knew it then.

Various financial organisations have been adjusting their criteria and small print, sometimes in less than an open and fair manner.

You will have to go to the mattresses.

JA1000

I am afraid without the evidence you will be wasting time with the FOS, but carry on just don't rely on it. It wont take that long for your case to be heard.

I have recently put a case through the FOS and even with evidence I didn't win and am £30K out of pocket. I would concentrate your efforts elsewhere, is the mortgage tied in? Can you apply elsewhere?

And this forum is not for you to hold back on, let it be known who the lender is or other posters will think you haven't revealed the whole story. Someone else may have had a similar experience.

phoward_uk

Fair point. I thought the Mothers Pride was fairly obvious!

What sticks in my throat is that this person gets away with giving wrong advice and we get punished.

We are tied in till July 2012. I would be off like a shot. I will not give them a penny more than I have to.

VIGILANT22

I don't undertsand this, if you changed lender's, why would you challenge him about the account being closed? I wonder if you did see an advisor or a customer services person? When you rcvd the paperwork did you not check it...more to the point why did you change lenders for another (what you thot) was a drawdown account...You really need to say who the new lender is.... that way we will know as to whether they offer drawdown at all....

phoward_uk

I had an existing mortage and I needed additional borrowing. I was tied in and it would have cost me more to go elsewhere and it was the best deal you can find.


You are also right - there was no mention of the overpayment in the paperwork we signed. As I said I asked the advisor on many occasions and he confirmed that the money would still be there. What can I say - I believed somebody who should be qualified to give me the information I requested!

VIGILANT22

Is this correct... You went along to your existing provider for a further advance/additional borrowing as your currently tied in
You have to explain things clearly

JimmyTheWig

Are they prepared to add the amount you want to "draw down" onto the mortgage at the same terms as the mortgage loan you currently have?

If the money doesn't exist then they won't give it to you, but the above may be at least possible and would give you the same result...

VIGILANT22

If this was only a further advance, why are the facilities of the main mortgage no longer there? and what was the £50.00 fee for? what was closed. Have you remortgaged from yr old deal?

getmore4less

What mortgage papers did you sign?

Get them out and have a look.

phoward_uk

VIGILANT22 wrote: »

Is this correct... You went along to your existing provider for a further advance/additional borrowing as your currently tied in
You have to explain things clearly

Correct - apologies.