MSE News: Northern Rock pays £270m to 150,000 after gaffe

lauramc12

Hi there new to this site, i recently received a letter from NRAM explaining that i may be entitled to redress re: my loan with them.
My question is do i have to accept that the amount owed will just be deducted from my loan balance, or can i request that i receive payment in cash.

vivavilla

Geeka does it actually say further advance on your statements? I'm trying to work out the difference between a further advance and a secured loan - my statements say personal secured loan but I've not had a letter from NRAM.

natty16

vivavilla wrote: »

Geeka does it actually say further advance on your statements? I'm trying to work out the difference between a further advance and a secured loan - my statements say personal secured loan but I've not had a letter from NRAM.

I think the customers affected by this took out unsecured loans and not secured loans. I may be wrong as i haven't read this entire thread but I received a letter a few weeks back and I know that my loan part of my Together Mortgage was unsecured.

HTH

cortway

geeka wrote: »

Just seen this on NRAM site. looks like im out of the running as mine were further advances.!!

"Please note - if you took out a further advance on your mortgage, this type of loan is NOT regulated by the CCA so is not affected by this issue."

What do you mean by further advance? Was it to in in
crease your mortgage or was it to increase an unsecured loan.


Thanks

mrsvanderkamp_2

ClaretMatt wrote: »

Hi all...

I've got a Northern Rock "Together" mortgage and almost certainly fit the profile for eligibility for an interest refund. I got taken to court by NR a couple of years back for the unsecured loan and the outcome was that they got a charging order to effectively secure the unsecured loan. Looking back, this was the first step to repossession but I managed to steer the ship away from the iceberg and now all is well.

This business has set me wondering, would it be grounds to apply to have the judgement set aside? Be nice to whip the CCJ off my records and all since I've been trapped into a negative equity mortgage with a CCJ padlock for good measure!

Hi there, I know this is quite an old post but I'm on half an hour lunch and don't have time to read the whole thread so apologies if I'm going over old ground here.

I posted on the on the other thread about my situation which mirrors your own.

My questions are :

1. How can NR say that "loans above 25K are not regulated by the CCA1974/2008 and so are therefore unaffected" and yet hundreds of us quite clearly have paperwork headed up "Regulated under the CCA 1974"??

2. In addition, I am not convinced that the agreements themselves are correct in terms of complying with the regulations under the CCA (if you are going to put on paper that an agreement is so regulated, rightly or wrongly, then at least get the actual agreement correct!) I believe that any agreement under the CCA should have prescribed clauses which should include

a) the agreed monthly repayment and
b) the total charge for credit

My agreement contains neither and I suspect many others will not either.

I also therefore ClaretMatt, wonder if there are grounds to have the judgement set aside, which would then quash the charging order. For many people this would move them out of a negative equity situation (particularly if interest is also repaid).

In addition to this I am wondering about this cap of £25K The amount on my loan agreement says £27,000 but I am fairly certain that we initially only drew down around £20,000. I don't think that this would make a difference but am more than happy to stand corrected - as interest would only have been charged on the amount borrowed not the amount available (in this sense the unsecured part of the together loan was a bit like a credit card with a maximum credit limit but you of course didn't need to use it all). I think this may be why the agreements didn't contain fixed monthly payments or a total charge for credit?

geeka

Hiya, i'll check my statements tonight and let you know but the whole value of the mortgage including the further advances/secured loans is shown not each part. last time it showed the split was when i changed from interest only to repayment. its all about as clear as mud.
i'll have a trawl through all my documentation again and see and keep you informed. i'll also see what happens in response to my letter.
Tim

davross

I had a mortgage with NRAM and 2 secured loans which I moved to another lender in 2011. The loans are are shown seperately on the statements as "Secured Personal Loan 1" and "Secured Personal Loan 2" and each with different interest rates to the mortgage.

I just called NRAM for an update as I havent recieved a letter yet. Atter going through a few questions I was told that I shouldn't get my hopes up as it is only unsecured loans on together mortages that are affected but that he would pass my details on for investigation anyway.

Does anyone know if Secured loans are usually regulated by the CCA?

geeka

to quote the NRAM website

"If you have one of the following types of loan;
» Unsecured personal loan
» Unsecured personal loan linked to a Together Mortgage
» Unsecured personal loan that was originally linked to a Together Mortgage
» Secured personal loan"

so again more confusion as to whats included and not, different story depends on who answers the phone!!!!

davross wrote: »

I had a mortgage with NRAM and 2 unsecured loans which I moved to another lender in 2011. The loans are are shown seperately on the statements as "Secured Personal Loan 1" and "Secured Personal Loan 2" and each with different interest rates to the mortgage.

I just called NRAM for an update as I havent recieved a letter yet. Atter going through a few questions I was told that I shouldn't get my hopes up as it is only unsecured loans on a together mortages that are affected but that he would pass my details on for investigation anyway.

Does anyone know if Secured loans are usually regulated by the CCA?

downhiller

They really are clueless. It's not the fault of those on the phones as they can only tell you what they've been told, but whoever's behind the scenes needs to get a grip of the situation.

geeka

I feel sorry for the staff, I think a clear message needs to be got out as at the moment no one actually knows. Frustrating for sure!!! keep telling our stories and experiences and the truth will come out. Keep the faith