Roped into more borrowing!!

Josie34

Hi not sure if this is in the right place but here goes!!

My hubby rang the halifax this morning to see about getting a 3 month payment holiday from our mortgage as we are struggling after having to replace some plumbing after a burst pipe!!
Anyway they said because the mortgage is due out on wednesday it was to late to cancel as it was already being processed, so instead of my husband asking for it to start next month they told him he could borrow againist the equity on the house. When they transfered him to the dept to do this they said he couldn't borrow the 2 grand which is what the 3 month payment holiday would have added up to, instead he had to borrow over 5 grand and that he couldn't borrow againist the equity but could add it on to the mortgage with a 995 fee and 250 for some other fee and the egit agreed!!!!:mad: So now its costing us nearly £1300 and we'll have 5 grand we don't really need was just wondering if you can cancel this after it's been processed

many thanks josie

maninthestreet

Payment hoilday = approved arrears. How can you 'cancel' AFTER it's been 'processed' ???
Have you considered asking your bank for an ovedraft or loan??

DVardysShadow

If the mortgage is in joint names, there is a very neat get out of handing back the advance and you saying that you do not agree.

TrickyDicky101

I would place a tight leash on your husband too - £1k fee for £5k borrowing is plain stoopid

hcb42

you haven't signed anything yet....so you will be able to cancel it easily, I would think. (and not let your hubby do these things in future, clearly as hopeless as mine is;))

ViolaLass

Josie34 wrote: »

... and that he couldn't borrow againist the equity but could add it on to the mortgage with a 995 fee and 250 for some other fee and the egit agreed!!!!:mad:

Was he aware of the fees when he agreed? If so, that was a really strange decision.

PS. Don't understand what you mean by "couldn't borrow against the equity but could add it on to the mortgage". If you have equity and choose to borrow more, then it will be added to the mortgage.

Wh05apk

If this is being done as a further advance, the fees will be added to the loan, until you get the offer and return it you will not be committed to anything.

Possibly the best route could be to get an unsecured personal loan through the likes of Tesco/Sainsburys for "home improvements / maintenance" they are normally about the cheapest, and can be arranged in days.

Thrugelmir

maninthestreet wrote: »

How can you 'cancel' AFTER it's been 'processed' ???

Direct debit runs are normally compiled and created up to 10 days before the payment date. So its impossible to amend a batch for a single transaction.