MSE News: Mortgages hikes after Yorkshire/Clydesdale Bank glitch

gp11971

Great news, just got letter from Ombudsman indicating that Clydesdale have agreed to write off 100% of the shortfall :beer:

In our case thats nearly £9000. Thanks to everyone on this forum for the advice and feedback.

Keep at it everyone.

globetraveller

Clydesdale have apparently sent out 3 letters which have never arrived. Funny that I have had no other post problems. The 4th one is on its way and has to be signed for. I am writing to the Ombudsman anyway on Monday. What was really annoying was I was told they couldn't tell me the offer over the phone until last Monday, after another call to them, I was finally told it was a final offer of £500 for main account and £50 for smaller one. Obviously I am not accepting that. It is disappointing that they are continuing with making paltry offers in the hope that many will just accept.
I'd still like to know from those who have been successful, what difference it has made to monthly payments.

Wulfrune

globetraveller wrote: »

I'd still like to know from those who have been successful, what difference it has made to monthly payments.

To quote Paul Daniels

"not a lot"

a couple of quid, maybe a tenner a month.:(

globetraveller

Oh no! I was hoping that if £5000 is written off it would amount to a bit more than £10.

Chippy04

Has anyone with a Clydesdale Offset Tracker mortgage had any success in getting their shortfall written off after going to the Financial Ombudsman?

I have an Offset tracker mortgage. In October Clydesdale notified me of their error requesting that my monthly payment increase by £280. Numerous phone calls and letters and a mortgage reconstitution later (has anyone made sense of the 20+ pages of numbers this contains?) it appeas that I have a £5k shortfall.

With a tracker you get a monthly statement that shows your net position (Mortage debt - Savings credit). From my understanding Clydesdales error means my Mortgage debt is understated to the tune of £5k (and so my Savings are over stated by £5k too). My net position is not affected by this. Would the Ombudsman rule against me on the basis of it being clear that my net position is unaffected?

In reality my net position is worse that it would have otherwise have been. I've been lead to think I'm putting aside more savings than is really the case. Had I have known my savings were really lower I wouldn't have replaced the old car and wouldn't have treated my family to a nice holiday etc this year.

It would appear that I've nothing to lose by going down the Ombudsman route but I'd be interested to hear from any other Clydesdale Offset mortgage holders.

birdsong247

we've an offset and it was settled in our favour - the offset is manipulating the interest level on a daily basis (saving tax, savings, other borrowing activity, etc).

However the mortgage is a secured debt and therefore subject to a monthly contractual payment - the CB breached their duty of care to deduct the correct mortgage payments by miscalculating the interest rate drops.

The fact the tracker is calculated on a daily basis adds to your argument that 'you could not be expected to know' the correct mortgage payment calculation. Essentially, you are paying the CB to lend you money and calculate figures that you owe, so should you really then a) maintain 30 mortgage calculations per month to check; and b) that you forecast the mortgage interest calculations each day against the financial markets.

make the complaint - the FOS will sort it out for you.

Chippy04

Thanks birdsong247, thats really encouraging to hear of your success.

globetraveller

how long did it take for folks to hear from the FOS?

clairembs

Excellent news, this morning we have received a letter from the Ombudsman confirming that Clydesdale have agreed to write off 100% of the shortfall and refund us the additional mortgage payments we have made since September. Our shortfall was approx £7,500.

Thanks to everyone on this forum for the advice and feedback.

tommyg7

Just got my letter from the Ombudsman. Like everyone else who challenged the Clydesdale I have been told they are writing off the shortfall which in my case is just under £8000.00.

Got to feel sorry for anyone who accepted their initial paltry offer.