When a mortgage company is owned by the state

Hello all sorry if there are any threads on here already I have searched but couldn't find what I wanted. I have a mortgage with mortgage express which was part of Bradford and bingley now state owned. I have about 20 years left on my mortgage and I'm not in difficulty in making my payments etc. the rate is really low at the moment so I really don't need to move mortgage, however I know that they want to reduce/close their mortgage book sooner rather later. I have heard that in order to get you off their mortgage book they are or may accept a proposal where say I have 200k left on my mortgage they might accept a full and final settlement minus say 20% so they lose a little of my mortgage just to get rid of me. Wondering if anyone can confirm this or how do you go about approaching this issue with the mortgage company. Thx

Comments

  • kingstreet
    kingstreet Posts: 39,217 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    I've known this happen with lenders like Advantage, the Morgan Stanley arm. If the lender is going to do this, it will contact you to offer it. You're not likely to be successful with such an approach if they aren't already offering it, but if you don't ask...

    AFAIK the only thing NRAM has done to encourage borrowers to leave is to waive early repayment penalties. As UKAR now manages the NRAM and B&B business I imagine you can expect a common approach.

    This organisation is tasked with getting as much money back for the taxpayer and this may prevent you achieving your aim.
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 350.2K Banking & Borrowing
  • 252.8K Reduce Debt & Boost Income
  • 453.2K Spending & Discounts
  • 243.1K Work, Benefits & Business
  • 597.5K Mortgages, Homes & Bills
  • 176.5K Life & Family
  • 256.1K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.