HELP! Advice needed for my ongoing complaint against cheltenham and gloucester

getmore4less

what does the actual mortgage contract say?

The KFI is is based on assumptions

Senior_Paper_Monitor

Th OP apparently has the offer rather than a KFI in front of him - and that is the document that will be relied on.

It is a little difficult to give an absolute answer without the actual document on the desk BUT from the information stated so far and basic logic it seems certain (at least to me) that this is a deal until a date, not for a period of date from commencement.

betmunch

Why are we entertaining this?

The offer letter will state when the mortgage is fixed until. This will overide the section which has the assumed date and the number of monthly payments in it.

There is a section, section 4, as Kingstreet said, which will clearly state when it is fixed until, section 6 that the client is quoting from is there to demonstate changes based on as assumed start date, if you dont start on that date the information will change, but the mortgage will still be fixed until the date shown in section 4.

I cant see this complaint being upheld

kingstreet

getmore4less wrote: »

what does the actual mortgage contract say?

The KFI is is based on assumptions

That's fair comment, but it seems most lenders have changed over to offers which include the KFI within it, so the KFI details are effectively confirmed by the offer.

TBH I'm only using the KFI as it's what I have available to try to lead the OP to the information needed.

In general, the bottom line, as already stated, is that if he bought a product with a fixed end date, which practically every lender but Nationwide offers, a change to the assumed end date would alter the number of payments accordingly.

I'd just like to say, I HATE assumed end dates and I'm tired of explaining to clients that they won't start paying their mortgage until after they actually buy their property and that massive assumed first payment can be easily avoided by completing at a month end.

dunstonh

Fixed rate deals for decades have been advertised as 2 year, 3 year, 5 year etc but in reality they are actually fixed until a certain date in most cases.

When a fixed rate deal is launched say for 5 years, it often starts it's marketing period as say 5 years 2 months but may go to 4 years 6 months for some people.

The FSA allow rounding in fixed rate deal marketing literature and promotion to show the number of years as long the date is shown on the main paperwork. It has to be this way as there is no logical way of doing it otherwise (funds are made available in tranches and investors have to be repaid on a certain date - so you cant get lending deals all expiring at different times).

My question to you kind folk is this, are they right? Do i have a case to fight this? Can it be fair that my contract says one thing and that the payments do not match the terms?

They are right and you have no case. It is the way it is and your documentation should show the date it is fixed to. I've seen C&G documents before and they do show the date.