Nationwide increase monthly payments on fixed rate deal

Fuzzyness

just saying for instance that you wrote to nationwide to saying that your tenant was moving out and you were intending on living in the property again when really this was not the case. what are the implications if they found out that the property was being let when you said it wasnt? We're considering it and then after three months or so reapplyin for consent to let again. would that not restart the clock on the three years and avoid the additional 1.5%. i know its a bit dodgy hence asking about the ramifications but we'r ealready beigning to wonder how we're going to afford the extra each month and we're still over a year from havng to pay it.

luckyfool

Don't know about Nationwide, but I know of one lender that applies a similar loading on the interest rate for Consent to Let now, and the loading doubles if they find out a property is let out where permission has not been requested.

Vincenzo

luckyfool wrote: »

Don't know about Nationwide, but I know of one lender that applies a similar loading on the interest rate for Consent to Let now, and the loading doubles if they find out a property is let out where permission has not been requested.

I don't have the fees and charges with me but I remember N/W made a provision for this.

Fuzzyness

so in the end if you told a lie you could end up paying more if they found out?

luckyfool

Fuzzyness wrote: »

so in the end if you told a lie you could end up paying more if they found out?

or worse. In principle you would be in breach of your mortgage conditions and they could take you to court/apply to repossess the property.

Mobility151990

luckyfool wrote: »

or worse. In principle you would be in breach of your mortgage conditions and they could take you to court/apply to repossess the property.

talk crap - l work for NBS and we discussed this a month ago, take to court to take the house?.......just no just no lol

Yorkie1

Worst case scenario? You've committed fraud and could get sent to jail.

I can't remember the exact details of the revised charges, but I'd have thought that even if they accepted your highly improbable story of moving back in for 3 months, you'd then face the new charges so not be any better off.

Fuzzyness

or would you? what if you said you're house was vacated by the tenant and that you were looking to relocate to the area (midlands to cornwall), finding a job wouldnt be as easy as you might expect. after three months of the house being empty and no luck with a job means that you'd have to stay wehre you were and let it out again. at that point we'd reapply for consent to let it again. is that so improbable?

Vincenzo

Fuzzyness wrote: »

or would you? what if you said you're house was vacated by the tenant and that you were looking to relocate to the area (midlands to cornwall), finding a job wouldnt be as easy as you might expect. after three months of the house being empty and no luck with a job means that you'd have to stay wehre you were and let it out again. at that point we'd reapply for consent to let it again. is that so improbable?

I think you said earlier that you still had a year or more without the increase? If so, I think you would be better advised to put your energy into finding an alternative solution such as remortgaging elsewhere when teh time comes (if it is actually cheaper to do so?), reducing the costs of letting (e.g. do you have a managing agent?) etc.

Otherwise you risk losing what time you have left at the current rate. There is also a chance that with all the current and ongoing complaints there might be some reprieve...best (in your situation) to stay under the radar for the time being, in my opinion.

I think all the comments above re mortgage fraud, repossession and prison (!) are ridiculous. The worst that could conceivably happen is that Nationwide will slap some punitive charges on you (which I believe the new charges allow for).

Fuzzyness

by the time the charges come in we'll have about 16 months left on our five year fix so it could be worse but we may just muddle through and remortgage with the right type of mortgage at the end of it.