!4000 Bank of Ireland Mortages acquired by Nationwide

Leon_W

On the face of it looks fairly good news for some Bank of Ireland mortgagees.

http://www.ftadviser.com/2011/10/17/mortgages/mortgage-products/nationwide-acquires-boi-s-uk-mortgage-portfolio-MbXzyFN1GCpfBhbNRvWeLL/index.html

Actually being acquired by The Mortgage Works which is a Nationwide subsiduary, but it may open up a few more deals for existing borrowers and prevent any uncertainty although it does seem these are specifically lower Loan to Value mortgages and not some of the more reckless lending that BOI has previously been involved with. Might also be some Buy To Let in there aswell.

farcove54

Hello,
Looking for a bit of advice.
We received a letter yesterday saying our mortgage was going to be taken over by Nationwide. What worries us is that we are on a low rate of 3.99% with BOI and the Nationwide rate for our mortgage is 4.99%, could they apply their rate or leave us at the rate we are now.?
This seems very unfair as we would be £200 a month worse off.
Any advice would be appreciated
Thanks Kay

Thrugelmir

The mortgage will remain on the existing term and conditions for the duration of the term.

kingstreet

BoI clients moving to TMW face SVR shock

The 14,000 mortgage customers transferring from Bank of Ireland to The Mortgage Works as part of a loan book sell-off are facing an almost 2%increase in their SVR.

Last month BoI sold a £1.1bn mortgage book to Nationwide. This will see 14,000 BoI customers transfer to TMW in December.

BoI’s SVR is 2.99% while TMW’s is close to double that at 4.79%.

A spokeswoman for TMW says: “Customers will remain on their existing terms and conditions. TMW is able to align SVRs, but as a temporary concession it will not align these customers’ SVRs at the point of transfer, but over a phased period. We will keep customers updated about when their rate will change.”

http://www.mortgagestrategy.co.uk/1040950.article?cmpid=MSE01&cmptype=newsletter&email=true

Leon_W

Just read that kingstreet. Can't see many being happy with that but it is a Standard Variable Rate and up to the lender what they charge. Now I see why the mortgages went to TMW rather than Nationwide, most will just ask TMW who ? If they went to Nationwide it could tarnish the old reputation somewhat !

Funny how it doesn't work the other way round though. Santander didn't drop Alliance and Leicesters SVR into line with their own did they ?

kingstreet

Leon_W wrote: »

Just read that kingstreet. Can't see many being happy with that but it is a Standard Variable Rate and up to the lender what they charge. Now I see why the mortgages went to TMW rather than Nationwide, most will just ask TMW who ? If they went to Nationwide it could tarnish the old reputation somewhat !

Funny how it doesn't work the other way round though. Santander didn't drop Alliance and Leicesters SVR into line with their own did they ?

No. They didn't. I was surprised N&P borrowers on SVR are getting a cut as they become YBS borrowers. Decent of YBS to do that.

If the BoI transfers are as good quality as they made out (50% LTV etc) chances are these borrowers will be off like a shot from the proverbial...

Thrugelmir

Leon_W wrote: »

Funny how it doesn't work the other way round though. Santander didn't drop Alliance and Leicesters SVR into line with their own did they ?

That's because the respective mortgage books were written on different risk profiles. As was the case with Lloyds/HBOS. After the merger Lloyds ascertained that around 28% of HBOS's mortgage book was outside their own underwriting criteria.

k4ndy

Hi, this is all a little beyond me... although I am a customer who will be transferred over on my fixed term mortgage. However we were wanting to change to Nationwide anyway, in June next year when we come to the end of our fixed term. Just wondering if we will now be able to borrow more from Nationwide before June by taking out a new bigger mortgage without paying the £5000 penalty. Hope that makes sense...

Thrugelmir

k4ndy wrote: »

Hi, this is all a little beyond me... although I am a customer who will be transferred over on my fixed term mortgage. However we were wanting to change to Nationwide anyway, in June next year when we come to the end of our fixed term. Just wondering if we will now be able to borrow more from Nationwide before June by taking out a new bigger mortgage without paying the £5000 penalty. Hope that makes sense...

There is no reason for the ERC to be waived. Your only choices at the end of the mortgage term will be to for you to drop onto your contractual SVR or remortgage elsewhere.

The amount the NW offer to lend you will be based on your personal circumstances at the time of application.

justice4people

Hunt to find account holders of BOI transferred to TMW.

If you like me are affected please contact:
Mortgage hike to hurt 14,000 homeowners with the Bank of Ireland



Money's mortgages editor Simon Lambert is investigating this issue further. Please email him at [EMAIL="editor@thisismoney.co.uk"]editor@thisismoney.co.uk[/EMAIL], marking Bank of Ireland and Simon Lambert in the subject line.


Please reply as we need as much support on this as possible. We only have a couple of months to raise full objection on this matter with TWM.

BoGoF

justice4people - please stop copying and pasting your garbage on all posts the mention BOI.....you have already been told you are wasting your, and everybody elses, time.