Santander advise contradiction

sexymax

Hi again to all, I am 67 years old & have a 25 year endowment mortgage with Santander@ £250.00 p month. My basic problem is around 18years ago I had to cash in the policy which was approx £3g. Since then I`ve been unemployed & now on pension credit.
I recently wrote to the mortgage center to suggest they extend the end date to my 75th birthday. They wrote back to tell me they could not do that, because it is running on the endowment basis and the term has to coincide with the maturity date of the endowment policy !But they would convert it to a repayment mortgage @ around £852.00 per month.Because the state pays all the interest of the endowment the repayment option is not viable. So I phoned them & the outcome was to suggest talking to a mortgage adviser in a local branch. That is exactly what I did . She told me that if i could prove that I no longer had the policy, then the argument would not hold up.and theoretically the term could be extended?
my problem is finding details going back 18 years( I didnt keep any details of which company) I`m thinking if I could see a bank statement from that period I would see the insurance details. and I wonder if the suggestion from the adviser was just a wild goose chase??
all opinions welcome
:beer:

Muscle750

So how will the mortgage ever be cleared if youve cashed in the endowment and the state only pays the interest the capital will never deminish as i can see it

bigadaj

The situation isn't sustainable, given the length of time in the property is there any opportunity to sell and downsize with the equity that will be left over once the mortgage has been paid.

opinions4u

Sell up and downsize or rent.

sexymax

Hi, my original suggestion to the mortgage center was to extend original date to my 75th b`day. After which my 2 children hopefully will be in the position to buy the house & pay the £70,000. or at that point sell it to settle.( both of which are 23, & 19, one finished uni & the other one more year to go ):beer:

The_J

Unfortunately that is not acceptable to the lender.

Your basic problem is your cashed in your repayment vehicle 18 years ago and instead of switching to repayment at that point (which would be much cheaper than it is now) you decide to pay less per month and not pay money into a backup.

Now you're stuffed I'm afraid, there's very little chance of them extending the term.

CBR600F_2

You were unemployed for 18 years? Jesus, what did that feel like?

sexymax

Thanks for all your comments however is it possible to hone in on the point
" talking to a mortgage adviser in a local branch. That is exactly what I did . She told me that if i could prove that I no longer had the policy, then the argument would not hold up.and theoretically the term could be extended?
my problem is finding details going back 18 years( I didnt keep any details of which company) I`m thinking if I could see a bank statement from that period I would see the insurance details".
Would this be a possibility? In other words "No endowment policy no end date"
Is it a reality no Bank records past 6 years ??:beer:

Dave_Ham

I am sorry, you are grasping at straws and the advisor in branch probably did not have the heart to tell you.

They will not extend the term and whenever your actual terms end, they are going to be looking for payment in full of the remaining balance..

There is going to be no way around this...