Halifax Standard Variable problem

Mrs_Z

Hi there, there is a clue in the wording 'your loans reverts to Halifax standard variable rate currently 7% after ///(date)'. The bank chooses its SVR which vary, but it is different from a variable rate which is usually defined as the bank of england rate + x pc. The bank can vary its standard variable rate as they choose - and they do not normally explain how they arrive to it.

felixrv

You say it is discretionary then why didn't it say it in the document. It implied discretionary but didn't state discretionary.
If it had stated this, i would have gone to my solicitor and he would of advised me to accept these terms and the risk involved.

GMS

Did you arrange the mortgage direct with the lender or use a broker?

Yorkie1

You have quoted the exact terms of the condition,and it said 'variable'. It made absolutely no reference to the BofE rate or any other particular rate. This means - unambiguously - that it can be varied at the discretion of the lender. It is standard mortgage wording. It is not the mortgage lender's fault if you made incorrect assumptions about what it meant or did not seek clarification.

felixrv

I will now endeavour to make sure lots of people understand this. I am sure the company will thank me for this for clarifyng there position for prospective borrowers for which I charge no fee.

GMS

felixrv wrote: »

I will now endeavour to make sure lots of people understand this. I am sure the company will thank me for this for clarifyng there position for prospective borrowers for which I charge no fee.

Did you arrange the mortgage yourself?

If so it was non-advised so you took the decision to choose that product.

With all due respect to you there is no real problem with SVR, people seem to understand what Variable means. Not really necessary for a crusade.

The answer to your problem is really simple. Move elsewhere, take yoru mortgage to another lender.

If you choose a broker then you will have an advised deal and may have recourse to any perceived 'bad' advice. Can't blame your solicitor if you do not understand the terms of your chosen deal.

Put it down to experience and move on.

felixrv

This is not a crusade, When people take out mortgages, there entire life is based around it. I am sure the majority of people are trusting. Not everyone is a solicitor to ask these sort of questions.

So if I can make people aware to this, at least people will know where they stand and then choose whether to do business.

GMS

You don't need to be a solicitor.

Did you use a broker or apply direct? If you applied direct YOU chose the product as it was non-advised.

Brokers advise.

If you bought a Ford air and olil filter for your car, serviced it yourself but fitted the parts incorrectly would you blame Ford?

You can trust advice as there is recourse if and when it goes wrong. If your car was messed up by a garage it can be repaired at their expense.

I have asked twice if you arranged the mortgage direct but you have not answered.

felixrv

I am sure you will agree it is not in the interest of the broker to highlight areas of the contract which could potentially change my mind especially when it is not so obvious.

That argument is not valid as it is really halifax offering the mortage and why would the mortgage broker suspect this. They are not solicitors.

GMS

felixrv wrote: »

I am sure you will agree it is not in the interest of the broker to highlight areas of the contract which could potentially change my mind especially when it is not so obvious.

That argument is not valid as it is really halifax offering the mortage and why would the mortgage broker suspect this. They are not solicitors.

I totally disagree. Revert rate is important to a client and needs to be considered.

Argument is totally valid. A solicitor would not be a mortgage adviser therefore does not need to explain the ins and outs of your mortgage offer.

If I did not point out to my clients the revert rate then I have not done my job.

Halifax offer the mortgage but the broker would recommend it above others so needs to explain why.

You have still not answered the question of whether or not you went diredt. Will you please answer this as it is vital to your argument.