Mortgages plc/kensington takeover

Alexg

We had a letter from mortgages plc , yesterday
Saying they had been taken over by Kensington mortgages, we currently have a good deal with plc, and hoped when we had poss done 3 years with them.with no
Problems we could go back to a normal lender.that would be January 2011.
I know Kensington don't have a great reputation?
Any advice greatly appreciated.

luckyfool

What does it matter. Pay your mortgage on time and at the end of the deal you may or may not be able to remortgage to a normal lender. Whether your lender is owned by Kensington or Mortgages PLC at that point makes absolutely no difference. As long as you pay your mortgage on time then you will be fine.

Silvafox

Kensington, like most lenders, are fine if you're paying on time etc. I was with them years ago and had no real problems if I remember correctly. My mortgage lender was taken over about 2 years ago too and it hasn't altered anything really as it's not like you speak to them regularly anyway.

As the other person says - if you carry on paying on time, it won't matter who owns your loan and you may or may not be able to remortgage to a prime lender. But bear in mind that in this climate you'll be looking at about 20% deposit/equity realistically to remortgage at the minimum.

In fact, my partner got a mortgage recently and her credit is as good as it gets and even she had to stump up 20% to enable her to go with a high street bank.

Alexg

Thanks for your depots.we had 2 year fixed with
Mplc at 8.5 but the fix ended in jan it then became 3%
Above base rate so brilliant at moment.
Do Kensington have to stick to original agreement?
Thanks

Alexg

Sorry about spelling!
We have at least 60%equity.

luckyfool

Yes, they will have to adhere to the original terms of the mortgage in terms of interest rate (if it was set out at a margin above base rate).

As long as your credit history has improved it should also be possible to remortgage to a high street lender as well.

herbiesjp

What problems did you have in the past?

When were they first registered? What were the amounts?

Alexg

Well I went bankrupt jan 2006, we both had bad credit history.august 2007,I was discharged early.
We had no problems with previous mortgages, my mum helped us get back on the property ladder, as we had such a miserable time.
The mortgage started in jan 2007,the house value is 300k and mortgage is 142k .But it is only for 10 years, which worries me, I would like longer security.

luckyfool

Given that you are discharged 3 full years (and you have such a large deposit) it might be possible to get a high street lender to take a look. Otherwise you can always sit tight for another year or two on your current very decent variable rate.

herbiesjp

Alexg wrote: »

Well I went bankrupt jan 2006, we both had bad credit history.august 2007,I was discharged early.
We had no problems with previous mortgages, my mum helped us get back on the property ladder, as we had such a miserable time.
The mortgage started in jan 2007,the house value is 300k and mortgage is 142k .But it is only for 10 years, which worries me, I would like longer security.

You may have some options open to you.

The LTV is in your favour.

It will all depend on your current circumstances as to what mortgage amounts/rates will be offered to you.

Grab up to date copies of your credit files, discharge papers, and current deal paperwork and discuss with a good whole of market adviser.

GMS

Alexg wrote: »

Well I went bankrupt jan 2006, we both had bad credit history.august 2007,I was discharged early.
We had no problems with previous mortgages, my mum helped us get back on the property ladder, as we had such a miserable time.
The mortgage started in jan 2007,the house value is 300k and mortgage is 142k .But it is only for 10 years, which worries me, I would like longer security.

Were you discharged from your bankruptcy or was it annulled? I know at that time Mplc were doing a bankruptcy annullment product through a seperate lender of theirs called Spectrum. If you were annulled then all trace of the bankruptcy has gone.