Portability of Woolwich Offset Portable Mortgage

Deehaich

Hi, I have a supposedly portable Barclays/Woolwich Offset Mortgage that I want to port the mortgage onto another house that I already own, which I bought quickly to secure a bargain using funds drawn down from the Offset Mortgage in question.

However, I've been told by Woolwich that I can't port onto this new house because I already own it. I can't see anything in my mortgages' terms and conditions that precludes this.

Can anyone explain the logic/reasoning behind Woolwich's position [they don't seem able/willing to], advise how I might challenge their position and give an indication of what my chances are of overturning their stance? Many thanks!

getmore4less

This seems to be a common restriction with porting it has to be done during the purchase procces.

Pitty you did not check before buying people could have warned you this might be an issue.

Thrugelmir

Porting is a transfer when you sell one property to purchase another. The mortgage is transferred in the process.

What you are effectively doing is remortgaging. As you already own the other property.

So technically Woolwich are correct. You have no real grounds for appeal, though you can try.

getmore4less

The actual wording from my docs(2004) about mortgages.

The Woolwich guide to mortgages.

"All our products are portable. This means that if you are an existing borrower and wish to move home, you should normaly be able to take the product that is applying to your mortgage at that time, to your new property".

The actual T&C I have do not mention porting at all.

Deehaich

Thanks for the replies so far. I'm told by the Woolwich customer relations department that the only way I'll find out why porting to a property one already owns is not allowed is if I lodge a complaint with them - bizarre!

Therefore, I've lodged two complaints: one regarding getting an answer to my question, the other regarding having to lodge a complaint in order to have a question answered.

Sorry to be like a dog with a bone, but since no-one has so far explained the logic behind what appears to be an arbitrary rule, I feel I need to pursue this. I'll let you know how I get on with the complaints.

Many thanks

Thrugelmir

Deehaich wrote: »

Sorry to be like a dog with a bone, but since no-one has so far explained the logic behind what appears to be an arbitrary rule, I feel I need to pursue this. I'll let you know how I get on with the complaints.

Many thanks

Arbitary it may be. However the lender is quite within its rights to set its own rules. As you are just the customer.

Maybe you should have asked beforehand ?

I assume you obtained the new mortgage with another lender. Was this on a residential or BTL basis?

getmore4less

Thrugelmir wrote: »

Arbitary it may be. However the lender is quite within its rights to set its own rules. As you are just the customer.

Maybe you should have asked beforehand ?

I assume you obtained the new mortgage with another lender. Was this on a residential or BTL basis?

No mention of another mortgage I think it was bought with cash from the offset.

Thrugelmir

getmore4less wrote: »

No mention of another mortgage I think it was bought with cash from the offset.

Thanks. Overlooked that when replying.

Hopejack

A friend of mine has had a similar issue - she was told the same thing and did look into it and didn't get anywhere. Not sure who the lender was though.

Deehaich

Thanks to all respondents so far. I've now raised a formal complaint with Woolwich, so I'll let you know the outcome in due course. The wording in my Woolwich Mortgage Offer says "you can keep this mortgage if you move to another property provided that you still meet our lending criteria at that time. The terms and conditions in this mortgage document will apply". When speaking with the complaints person, she confirmed that when I took the mortgage out in Jan 2006, it was able to be ported onto anther property already owned by me, but that this changed in early 2009 without notice to customers. The point is I do still meet their lending criteria!