Mortgage Free in Three Yrs

Bargain_Rzl

I was hoping to make my second o/payment tomorrow until I reviewed my finances and realised I have a cashflow problem :rolleyes: - not just because of the planned overpayment but also due to various other things this month which I've been saving for. Basically my household d/ds are due to go out tomorrow... leaving me with only about £300 in the account... and I'm off on a trip abroad next week so will need spending money, plus I have to pay for my birthday party! I forgot to transfer some money in from my least efficient savings account to cover the previous overpayment - well, I've done it now, but if I'd done it last Wednesday when I meant to, I could transfer the o/payment on 1st July and now it'll have to wait a couple more days :doh:

Meanwhile I've realised that I have no idea where I put the paperwork for the savings account which is earmarked as next to go... so must find that and move some money around before I send anything else out of my current account

Task for tonight then - locate my savings account

angelavdavis

Superfast_Gran wrote: »

Kaz2904 wrote: »

SFG what will you do then? Are they basically saying to you that you can't afford your mortgage so they're going to charge you even more for it? That's ludicrous.

What's happening is we're looking to move house and as our mortgage is "portable" we thought it would be more or less simple as we don't want any extra, we just need the same amount - maybe a bit less if we get a fair price for our current house. However, when they looked at things they said that according to their calculator we can't afford the mortgage we have now and so there would be a problem transferring it to another property! Doesn't matter that we made a full 10% payment of the outstanding balance in January, with lots of extra overpayments throughout the last year thereby reducing our 17 year term to just under 12! Go figure! What they are saying we will have to do is extend the length of our mortgage, which will in turn reduce our monthly payments so we can afford it!

I have to say SFG, I completely see where you are coming from. I do think its a ploy to get more interest out of people - tie them up for longer.

They might be officially reassessing people on the scale of unaffordability - and we have all heard the stories where banks have over-loaned to people, but I do think they are using this as an excuse to make more money from other customers too.

Call me cynical, but as Kaz says, they are taking liberties with people who clearly have a good lending record too and all in the name of the "responsible lending" game.

FreedomGirl

Hi SFG,

Really sorry to hear what's been happening to you re moving your mortgage. That is bloody scary. Thank you for posting this, because it helps the rest of us MFW avoid another new sneaky bank trick. Things really are tightening up...:(

FG

Superfast_Gran

Another annoying thing was the fact that the dippy woman knew less about my mortgage than I do - and she's supposed to be a qualified mortgage adviser! She told me I couldn't make the overpayments I had been making - after having checked out myself that it wouldn't incur any penalties - and then went on about how the mortgage of the new house would only represent 21% of the property value - and that we couldn't afford it over the existing term. I hope everyone realises how lucky she was not to get decked!!!!

Anyway, on a happier note, I'm just back from having another visit to the new house - and it's even better than we remembered! More space, more potential, and a fun secret attic space for the grandchildren - number 4 of which is still refusing to leave Mummy's tummy - 5 days late! It's even got a Harry Potter room under the stairs! Oh and a safe cemented in upstairs! The estate agent reminded us to take our shoes off or put covers on if going into the carpeted rooms (brand new you see), mind you he said, they're your carpets! I loved that! Am I sad? No, no, no, was the chorus!

chickadee

Superfast_Gran wrote: »

Another annoying thing was the fact that the dippy woman knew less about my mortgage than I do - and she's supposed to be a qualified mortgage adviser! She told me I couldn't make the overpayments I had been making - after having checked out myself that it wouldn't incur any penalties - and then went on about how the mortgage of the new house would only represent 21% of the property value - and that we couldn't afford it over the existing term. I hope everyone realises how lucky she was not to get decked!!!!

This is really scary. I have to say, I don't trust what people say to me in call centres, etc. I work in a shared occupancy building and when I see some of the people coming and going I wouldn't want to be relying on anything they say without checking the paperwork myself. That, and the rate of staff turnover.

SFG, your so-called mortgage 'expert' will move on to another client tomorrow, leaving you to pay for her incompetence for the next 20-years or so, potentially. This is exactly the reason why the economy is in the grip of the credit crunch, because mortgage advisors told gullible people that they could afford mortgages that they clearly couldn't. Now the pendulum seems to have swung the other way. What a crazy world we live in.

do_it_today!

SFG that is annoying - I do thinks its a case of saying whatever fits to get more money out of people at the moment

Superfast_Gran

do_it_today! wrote: »

SFG that is annoying - I do thinks its a case of saying whatever fits to get more money out of people at the moment

Yes, well, I think we may just employ some of their own tactics to get what we want - being aware that we're more savvy than they are

MoneySavingNovice

A quick update from me.

We have managed to reduce our total debt by another £8 k:A

I'm not sure how we managed that. We seem to be having a bit of a Furniture Buying frenzy at the moment (or so it seems). The good thing is that I managed to find a back-street shop that is selling really nice Oak furniture at a reasonable price! The 'boss' likes it better then the more expensive stuff, so every-one is happy!

I now need to find another credit card. My 12 month 0% Bank of Scotland offer is coming to an end. I can't decide if I should just pay it off in full or 'do the shuffle' to Virgin.

Well done every-one!!!!:T

PM to Tall Girl sent!

setmefree2

MoneySavingNovice wrote: »

We have managed to reduce our total debt by another £8 k:AI

Well Done on the OPs:T:T:T

Bargain_Rzl

I've just had my letter from Nationwide to say that my overpayment last week has knocked £3.08 off my monthly payment. Whoop-de-doo :rolleyes:

Just another few zillion quid to go and I might stand a chance of keeping my payments reasonable when my fixed rate ends...