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Question for the advisors...

When i took out my 1st ever mortgage in may 2004 i needed to borrow 100% as no deposit, i went through an independant broker who introduced me to future mortgages he said this was the best deal for me at the time, i had a perfect credit history back then i find out only recently that future mortgages are well known for dealing with people with bad credit history. also they charge alot of fees i think i was charged about 2000 pounds fees. does being with an adverse lender affect my credit rating? beacuse when i took out a secured loan on the property i was advised to deal with sterling credit, these i think are another bad credit lender, correct me if im wrong but did the fact that i was with future pay a big part in me getting introduced to another adverse lender???

Comments

  • homer_j_3
    homer_j_3 Posts: 3,266 Forumite
    Future do deal with non comforming clients - I use that term rather than adverse because their lending will deal with people who have good credit but maybe not the relevant history that a normal conforming lender will want - self employed - no accounts for example.

    Mortgages became regulated in Oct 2004 so the rules were different back then to how things are done today. I cannot say how stirling came into the picture but it may look a bit unusual that you have ended up with the lenders you have if you were employed at the time with good credit history.

    I would hope that you haven't been stung by a fee hungry broker who saw the pound before the professional advice and continued relationship.

    If you feel that you have, I would send a request for all the information that he has on you under the data protection act and then instigate the internal complaints procedure on the basis that they broke their duty of care to you by not placing you with the right product.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • regarding the fees paid what is the average fee that must be paid when taking out a mortgage?
    995 pounds plus valuation?
  • MortgageMamma
    MortgageMamma Posts: 6,686 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Hi Peter

    Tell us a bit more about your circumstances back then....

    Lisa
    I am a Mortgage Adviser

    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • homer_j_3
    homer_j_3 Posts: 3,266 Forumite
    there is no average fee. Fees differ from lender to lender and can depend on the types of deals. Most lenders offer the option of no fee products, small fee products, medium fees products and large fees products.

    The rule of thumb at present is that bigger the fee, the less the interest rate you will pay. When you get into the non-conforming market you may find the no fee or small fee missing from that equation as they will have a higher costs to get the money to lend to you (and want to make more money off you to reflect the risk).
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • back in 04 i had been in continous emplyment since leaving school at 16, im now 26, had 1 credit card with a 1000 limit i got at 18 was silly, maxed it out but always made the payment each month that was all my debt. met my OH she fell pregnant late 03 was still living with my father. we wanted to buy a property and had no savings so therfore no deposit. Went to a local estate agents called Miles and Barr found a flat we fell in love with and needed a mortgage with it. we was told by estate agents that their financial advisor was very good and would sort it for us. we spoke to him and he searched the market for us. we sat next to his pc while he was searching and he found this mortgage through future mortgages. Now as i knew nothing about mortgages then i thought it was a good deal 100% and fixed payments for 3 years at 481 a month. advisor assured us it was best deal too fees were about 2-3k added to loan.
    was hell after tho as the advisor seemed to lose all intrest in us as the mortgage offer took ages to come through i had to keep foning him up, then foning his company up finally got mortgage tho moved in everything was sweet untill 3 months into it our payment changed i check the terms and conditions and it wasnt a fixed rate at all it was a discounted 1% for 3 years so of course every 3 months our rate went up along with our payment everytime the LIBOR changed even tho i was told it was a FIXED deal???
    i thought its too late to do anything now and continued to pay each month. we then had some money troubles and being young and stupid took out a secured loan saw advert on tv foned it up and got introduced to Endeavour personal finance/stirling credit. when we fell into serious trouble due to illness in family i was forced to take time off work to look after children we missed a months payment, nov 06, thats when future showed me who they really are, ring me avery day from 8AM onwards, i even had their customer service team asking me to take out a loan to repay the arrears which i then told them is wrong they shouldnt be advising me to take on more debt to repay a debt to which i got a reply its not my problem mate you will have to pay or you will go to court. from there on in i just wanted out from future but cant untill 18th may this year otherwise i must pay a 7000 early redemption fee. so i know i keep posting on here asking the same questions to you guys but to tell you the truth im desperate to get another mortgage which wont rip me off and repair my credit status....sorry for the essay!!!
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