Northern rock loan over £25,000

tinystar2001

We have just had our complaint rejected by the FOS too. We borrowed £22,100 but had signed a contract to borrow up to £30,000 so they have said the usual, although the contract states it is covered by the CCA, it isn't, but it's ok because most aspects of the CCA would still have been honoured. Also, under the circumstances, they do not think our decision would have been different had we known the true picture. ?????!!!!! What the hell?!!!!' I have asked them to clarify to me why they have made this assumption, which no doubt they will ignore. Also, I have informed them, as I had previously, that had we known, we may not have taken out the loan, but we may have, however this would have been on a fully informed basis. And also, surely if the terms of a legally binding contract need to be changed, this has to be with the agreement of both parties. Also, as my original complaint pertained to NRAM very poor communication, we have no idea whatsoever which parts of the CCA they were prepared to apply to our loan.
The FOS do not seem to be taking this seriously. They are certainly not judging cases on an individual basis, as our response seems to be the same as everybody else's, and hasn't addressed half of our points. I don't know how they think they can brush this under the carpet. Even if it takes 20 years, I am sure we will get the outcome we deserve!

sshaw101

Hi all,

I have posted this elsewhere but maybe someone here could help/has received a similar letter?

I recently got a letter from NRAM stating that I never recieved written confirmation of my revised monthly payments following taking a payment break dating back to December 2012.

This was also tied in with the mortgage (together mortgage) so both secured and unsecured loan amounts changed following the payment break.

Now I was just wondering is the same scenario as last year where NRAM failed to include certain wording etc and had to pay back the interest on the loan? Would this be the case here? Do they have a duty to tell you the revised amount in writing?

Most probably clutching at straws but wondering if others have had this, or if any experts think they may be a claim to get the interest repaid etc?

Many thanks in advance

sshaw101

gwc1980

I we too got these letters saying "hi here's the information we should have sent 8 months ago blah blah blah"

They obviously know they've messed up again otherwise they wouldn't be trying to cover their backs.

With the amount of complaints against them but no action they are obviously untouchable, sod our rights we are only the customer. :mad:

sshaw101 wrote: »

Hi all,

I have posted this elsewhere but maybe someone here could help/has received a similar letter?

I recently got a letter from NRAM stating that I never recieved written confirmation of my revised monthly payments following taking a payment break dating back to December 2012.

This was also tied in with the mortgage (together mortgage) so both secured and unsecured loan amounts changed following the payment break.

Now I was just wondering is the same scenario as last year where NRAM failed to include certain wording etc and had to pay back the interest on the loan? Would this be the case here? Do they have a duty to tell you the revised amount in writing?

Most probably clutching at straws but wondering if others have had this, or if any experts think they may be a claim to get the interest repaid etc?

Many thanks in advance

sshaw101

Thrugelmir

sshaw101 wrote: »

or if any experts think they may be a claim to get the interest repaid etc?

Presumably you were advised prior to the payment break how the "arrears" would be clawed back. Not the precise amounts but the principle involved.

sshaw101

yes was informed of what the new payment amounts would be over the phone, they just did not put it in writing.

seems like they know they have messed up again - has anyone spoken to them about it (guess there answer would be no we do not have to repay the interest blah blah blah).

Is this something the FOS look at?

matt1986_1

Ok guys, I'm getting frustrated by this so have involved my local MP, back in April he contacted Mr Sajid Javid of the HM Treasury. He explained that the government do not get involved with "commercial matters" and manage NRAM at arms length.

I don't believe this is a commercial matter, this is a loan agreement that is set with unfair terms as does not suit the economic environment that we find ourselves in.

First email below is to my local MP, mainly keeping him involved but also providing an opions on Mr. Javids' comment about this being a commercial matter. The second email was sent to Richard Banks, CEO of UKAR.

I am awaiting a response on both.

I will keep you posted on the answers



Dear Mr, Murphy,

I hope you are well?

Just to let you know that I haven't given up on this matter.

As explained before there are many others who find themselves in the same situation as me.

The FOS are rejecting all complaints made by all other making an assumption that we would have committed to the loan anyway even if we were made aware that the loan was not regulated by the CCA.. So not being happy with that outcome I have now contacted Richard Banks, CEO and Mr Hayes, Head of legal of UKAR to discuss my issues further. A copy of this email is below.

People seem to be missing a very clear point here its not just a "commercial matter", it’s a contract causing entrapment into unfair terms.

Im trapped in a mortgage where on a standard variable rate, where if the BOE interest rate rises, I can no longer afford my home. I would be more than happy to my mortgage business else where to a new lender, to provide me with security, but with the unfair terms of the mortgage / unsecure loan product this cannot be achieved. The government should be stepping in to support consumers like myself who are trapped.

I am really interested if you feel if this is actually a commercial matter or not. I totally see maybe an incorrect loan contract being a commercial matter, but there is a much bigger picture here with the knock on effects of the unfair terms.

I look forward to your reply,

Best Regards,

Matt Thomas



Dear Mr. Banks and Mr Hayes,

I have given up on my usual approach of contacting NRAM to discuss a few issues I have with the way they operate.

I have two very clear subjects, that I need to discuss, with senior members of the NRAM management team, and I believe UKAR manage NRAM:


In 2007 I signed a credit agreement for Norther Rock Together product, where its clearly stated on multiple areas of the agreements, that the loan I was agreeing to was protected by CCA1974, however this is was untrue. NRAM now take the stance that only credit agreements below £25,000 can be regulated by the CCA1974. My agreement was for £30,000 originally so therefore i'm subject to an incorrect loan agreement, which has been misrepresented.

I would like to move my mortgage product away from NRAM. However, as the products I hold with them are made up of a mortgage and unsecured loan, if my mortgage is moved away from them, they will load the unsecure loan with an additional 8.00% APR. Therefore this ties me into them, as no other lender will consider remortgaging with an unsecured loan with NRAM on a credit file. NRAM no longer offer new mortgage products, therefore I am stuck on a standard variable rate, so if the BOE interest rate rises, I have no protection or opportunity of fixing interest rates on either my mortgage or unsecured loan product. Therefore it’s possible that I could lose my house, on the account of affordability should interest rates rise again. Do you class this as fair terms?? Originally when the loan contract was signed, Northern Rock were providing products to existing customers, however as they no longer offer any products how can they possibly enforce such a hike in interest.

So the advisors at NRAM are not interested to discuss these issues, the FOS wont intervene, and I have even been in touch with Mr. Sajid Javid who can’t comment on commercial matters, and explained he that the government operate at arms length from these sort of matters.

I would be very much interested to hear your advice on these matters, as nobody else can seem to help or wish to discuss these issues in further detail.

Gone are the days when you can pop into a branch to see someone or have a meeting face to face to discuss issues of this severity.

I would really appreciate a response from you.

Yours Sincerely,

blueperil

slightly of topic but related to the mess up with the paperwork as discussed earlier in this thread. I'm in the same situation as some of you, I only took 15k of my loan but the agreement was for 27k..

I'm about to sell my house and will be left about 7k on the unsecured loan. I've just spoken to NRAM and they informed me that the rate will go up 5%, as it does in most cases, I asked them to check and they confirmed that was the rate on my 'offer'.

The thing is, I have several loan forms in my paperwork and most of them do say 5% but somehow the one I signed, the same one NRAM signed, says 3% on it. I expect they have no record of this if the files have been destroyed/stored on micro film.

Would I have any kind of case against them if they start charging me 5% extra, as I expect they will?

IainHL

Personally I would be sending NRAM a copy of that paperwork with both your and their signatures on it and pointing out (nay, insisting) that you expect them to only raise the interest rate charged on the remainder of the unsecured loan by 3%. You may, of course, choose to ask your solicitor to do this for you if you feel they might take more notice of them.

Bignosher13

Interesting, could this mean us??
(I can't post a link so if you take out the return after www. and paste the whole thing into your browser please)
www.
independent.co.uk/money/loans-credit/more-banks-face-payouts-over-loan-blunder-8930120.html

IainHL

If by "us" you mean those with loans over £25k, then no, I don't think so.

I would be fascinated to see the list of 50 financial institutions though!