company transferring my mortgage and the rates

cardifffan

Hi Newbie here some advice would be appreciated.

Took out a mortgage in 2003 with Bristol and west which was then transferred to Bank of Ireland and now the Mortgage works.

I have been informed that there was nothing I could do about this transfer, I fell into a bracket and have never missed payment etc.

The problem i have is the main mortgage and some additional borrowing were on fixed rates

1 fixed rate has expired and the mortgage rate with bank of Ireland is 2.99% however mortgage works rate is 4.7%.

As the transfer was completed by the bank and I was told there is nothing i can do about it, is it right that i am punished with the higher rate ??

Furthermore mortgage works have stated that if I settle the existing other part (still on fixed rate) the Bank of Ireland redemption charge applies.

surely this works both ways is there anything i can do

a frustrated newbie

Thrugelmir

Unfortunately not as frustrating as it may seem. TMW are allowed to effect these changes under the offers that you accepted from the BOI.

cardifffan

Thrugelmir wrote: »

Unfortunately not as frustrating as it may seem. TMW are allowed to effect these changes under the offers that you accepted from the BOI.

Thruglemir, thanks for the reply however as its unfortunate then i assume theres nothing I can do about it.

Do you think anything could have been lost in translation this is the second time its been passed on bris + west to BOI and now the MW's ??

kingstreet

Existing thread on the subject.

https://forums.moneysavingexpert.com/discussion/comment/50139581#Comment_50139581

Thrugelmir

cardifffan wrote: »

Do you think anything could have been lost in translation this is the second time its been passed on bris + west to BOI and now the MW's ??

Your contract allows reassignment of the debt to who ever the current owner wishes.

All other T&C's remain in place.

Besides the standard clauses. As with all mortgage contracts there is an exceptional circumstances clause. Which within reason gives a lender the right to amend the terms as they wish. Having said that. The FSA does scrutinise what lenders do, to ensure fairness to customers etc. On the grounds of commerciality alone it will not interfere.

jaysb

I'm one of the many affected by this transfer, which was bad timing getting the news just ahead of xmas.

I believe I've been forced to remortgage, which is not so easy in current circumstances, although I have managed to do it.

The new mortgage offer is from Nationwide, who own The Mortgage Works, but the rate is even better than the 2.99% with BOI, so in the end I'm no worse off.

I can imagine its not going to be easy for everyone to remortgage - so I do wish them good luck

Thrugelmir

jaysb wrote: »

I believe I've been forced to remortgage, which is not so easy in current circumstances, although I have managed to do it.

The new mortgage offer is from Nationwide, who own The Mortgage Works, but the rate is even better than the 2.99% with BOI, so in the end I'm no worse off.

Its the NW's way of processing the mortgage book. They took on some 14,000 mortgages.

cardifffan

My offer fron Britstol and west states that if their SVR exceeds the bank of England base rate by more than 2.5% then I have 90 days to settle the loan in full without any early repayment charges. Bris + West Mortgage - BOI - TMW, but the contract i signed was with Bris + West no updated paperwork from either BOI or TMW.

Now both the Original loan and the additional borrowing are included in this offer so I believe I should be able to pay up without early repayment.

Or is it wishful thinking on my part

jaysb

cardifffan wrote: »

My offer fron Britstol and west states that if their SVR exceeds the bank of England base rate by more than 2.5% then I have 90 days to settle the loan in full without any early repayment charges. Bris + West Mortgage - BOI - TMW, but the contract i signed was with Bris + West no updated paperwork from either BOI or TMW.

Now both the Original loan and the additional borrowing are included in this offer so I believe I should be able to pay up without early repayment.

Or is it wishful thinking on my part

Thanks for looking as I haven't.....

Are you thinking the early repayment is charegable by BOI, TMW or both if you move on from TMW ? as I heard in another post that BOI had charged an early repayment, even though it was them that instigated the transfer.

I guess whatever the charge, whether its contracturally correct or seems rights in terms of morals (its a business afterall) then the cost to get legal advice may actually outway the cost for recovering the early repayment.

I guess you are like me, outside of a fixed term deal but was on the 2.99% SVR at BOI.

This situation just goes to show, that no matter how much effort you spend in looking for a mortgage deal and choosing the lender, then with little notice your mortgage can be sold on and the terms changed. How many consider that when buying/remortgaging ?