NRAM want to asses our income every 6 months

Smudge-Smith

Can they do this? Originally we had a mortgage with Northern Rock with an unsecured loaned attached to it. 5 years ago we moved our mortgage to a different providor but maintained the unsecured loan with Northern Rock.
Recently we have had telephone calls from NRAM asking us to complete statement of income forms. When I asked them why, they said it was a "legal requirement to ensure that we are paying the correct amount".
I said we were paying the correct amount based on our initial loan agreement and we hadn't defaulted and were not in arrears.
They still maintained that we are required to complete this assement every 6 months and we had agreed to it in the T&C's.
Can find no ref to this in our original agreement and when I asked why we hadn't had this form sent to us every 6 months for the last 4 and half years to complete, based on their statement, the young lady didn't have an answer.
My other creditors aren't sending self assesment forms twice a year to "make sure I'm paying the right amount" so would would these people suddenley decide that I should?
Anyone like to propose what they are trying on here?

ILW

If you are paying as per the original loan agreement, I would suggest you tell them to F Off!
Are you sure the call was from NR?

Smudge-Smith

Yep, it was definitley NR (Or NRAM as they like to be called, because I specifically asked if they were NR or 'agents' acting on behalf of etc... eg a collections agency. She definiltey said she was NR and NRAM were the production of a division in how the business was setup...

We have a letter from them too (NRAM Loss Recoveries and Debt Management - which is why I asked the question above) which states "As agreed I am writing to advise that the arrangement to pay on the above account is now due for review.
Please contact us on the above number to discuss a new arrangement to clear the remainder of the outstanding balance."

We have always paid by DD up until last month when they told us they could no longer take DD payments from us (even though in the original loan agreement this is what was stated contractually as the required method required for paying back the loan.

This is the first communication we have had (apart from annual statements) so we don't know what this 'agreement' is that we are supposed to have entered into. Our agreement was that we would agree to pay back the unsecured loan over x amount of months at y interest rate.
As we have paid the same sum for regularly and havent defaulted, we don't see why they should suddenly need to review our income on a 6 month basis to 'make sure we are paying the proper amount'.

It seems to me that NR (or NRAM whatever they want to call themselves) are no longer happy with the agreement and are trying to force us into repaying the loan early.

opinions4u

When you redeemed the mortgage, did the interest rate on the unsecured loan change (increase), as would normally happen with Northern Rock?

If not, why not?

Smudge-Smith

Yep! The original agreement shows 6.69 % PA
Our annual statements after we redeemed the mortgage show 9.79% PA.