Repayment of Interest only - Outstanding Balance or Repayment Figure

maninthestreet

JackDunstan wrote: »

nope the amounts jumped with the SVR, I am definetely not repaying as the amounts dont add up, all simple maths.

I'm best to sit tight I guess as I think they have messed up.

Thank you for your time. "Please note that the outstanding balance displayed is not a repayment figure" was what I was really checking to see maybe others had asked the same question about Halifax.

Why did the payments increase when you went on to SVR? What interest rate was applicable before you went on the SVR?
Exactly how much are you paying each month now you are on the SVR?

JackDunstan

fixed interest only was 4.5% approx 2006-2008 about a grand a month

then on to SVR and has been below a 800 since 2008 until very recently when it jumped to 815 when Halifax rose their SVR

Perelandra

How much is it now going down per month, and what is the SVR rate you've been given? Do you have a calculation anywhere of the monthly interest currently being charged?

Normally (although thsi doesn't explain it in this case), the repayment amount can be higher than the outstanding amount, due to exit fees/penalties. Clearly not a £6k gap, though, and wouldn't explain why your balance is lower in this case.

getmore4less

JackDunstan wrote: »

fixed interest only was 4.5% approx 2006-2008 about a grand a month

then on to SVR and has been below a 800 since 2008 until very recently when it jumped to 815 when Halifax rose their SVR

£250k @ 4.5% would be £937.5

2 years paying £1k would leave around £248,433.

another 4 years with similar overpayments would be around £244,844


Stick your actual payments into a calculator to find out what ypu have left.

JackDunstan

thank you all for your help.

I think the calculator advise is good but I dont have the figures. You see Halifax simply direct debit out of my Halifax current account how ever much they want. You deem to think I control who sets up the DD instructions. It is HALIFAX themselves who have adjusted the DD manadate according to THEIR payment requirments. The only time I have ever INSTRUCTED halifax was "yes please lend me 250,000 on a INTEREST ONLY deal back 2006" thats it the rest has been DD in the background.

I would suggest I would have had to consiously choosen to do over payments or Halifax DD over payments that I had not authorised.

So if I had the exact figures I would expect the balance to come to 250,000 give or take a small amount plus or minus BUT not 6,000 difference.

I should not need a calculator as the point of the Interest Only is at the end of the term or selling you still owe exactly the sum you were loaned give a take a few pounds... and the DD over time was to service the interest and that it.

I rang up Halifax and the girl could not explain it either and says it looks like you received a £5,000 adjustment.... who knows, anyway they refused to give me a CTL with out increasing my interest rate by 100%, thats right doubling it after I had never missed a payment, LTV of 45% etc so let sleeping dogs errrr sleep

maninthestreet

Have you been sent annual mortage statements?

getmore4less

JackDunstan wrote: »

thank you all for your help.

I think the calculator advise is good but I dont have the figures. You see Halifax simply direct debit out of my Halifax current account how ever much they want.

Just look at your account and/or mortgage statements for how much has been paid.

you can ask all you like on here but you are the only one with the data to check what should be left on the mortgage based on what was actualy paid.

Most companies just set up the DD and never change it till sme signifcant change happens like a change in rate.

Dave_Ham

This is strange, you may be one of the affected Halifax mortgage holders when they did not offer you a new deal when fixed in. Back in 2008 or 2009 I think they had an issue and have been writing out to mortgage holders and advising. Do you live in this property, or were you renting out and therefore not necessarily received the post?

Alternatively, they will not have a direct debit as an overpayment no chance so the adjustment must be the issue and therefore good news...?

JimmyTheWig

Bank error in your favour?

JimmyTheWig

Do you have a copy of your credit report?
If not, sign up to noddle and get it free.
This will show you the balance outstanding on your mortgage each month for the last 5 or 6 years.
Copy and paste the figures here and someone should be able to spot what's happened.