Halifax forcing me to change mortgage

jkj3

Help please if anyone can?
We have had to move house to a new area for work - We are going to rent our house out and have approached Halifax for permission to rent - They are making us change our mortgage from a standard variable to a tracker - charging us a fee and the end result is our mortgage will be approx £100 more expensive every month!!
Surely this cannot be right - I have been a Halifax customer for over 20 years - Most unimpressed - They say I am welcome to change mortgate supplier but as we all know the new supplier will charge me to change the mortgage - I feel like I am being blackmailed

What should I do? Is this practice allowable?
Thanks for your help and advice

JKJ3

Radiantsoul

A rented property is higher risk for them and they are charging you more for that reason. It is not really unfair in my opinion and most mortgage providers would do the same.

opinions4u

You want a buy to let mortgage, not a residential mortgage. They are charging you accordingly.

jkj3

thnks for the quick reply's - I would understand a fee for the approval to rent out the property - I dont understand why they are making me change the mortgage type from standard Variable to a tracker - A traker has a fixed period and then revert to standard variable - Back where I am today?

JKJ3

jkj3

PS -I have not bought another house - I rent in the new area -jkj3

opinions4u

Why not sell?

betmunch

If you dont like what they are doing, give them their money back.

herewegoagain2010

What line of work are you in JKJ? I know the Halifax offer a consent to lease and made a lot of allowances for current members of the forces, where their job rules where they live.

dunstonh

Surely this cannot be right - I have been a Halifax customer for over 20 years - Most unimpressed - They say I am welcome to change mortgate supplier but as we all know the new supplier will charge me to change the mortgage - I feel like I am being blackmailed

Its quite simple. You are currently priced on a residential mortgage. You now wish to break that contract and move to a commercial arrangement. They are offering you their terms for taking on the higher risk that goes with a commercial arrangement of this type.

You cease to be viewed as a "personal" customer but viewed as a "commercial" one. They are the terms they offer, take it or leave it.

catieeb06

Halifax does not allow a consent to lease application if your on the standard variable rate, you have to be on a rate with an applicable ERC.

slummymummyof3

Can you just tell them you have changed your mind and won't be renting it out after all? Just have a royal mail redirection so that you get your post. Not totally honest....but.