Green Deal MSE Guide Discussion

John_Pierpoint

Can someone publish this link?

My understanding is that Green Deal finance has its interest rate set by the market. so it could be almost any rate in individual deals?

sheffield_lad

Hi John PM sent.

It is only for my local area (South Yorks), but gives you an idea of how it works. I am sure there are other firms offering this all over the UK

Richie-from-the-Boro

howee wrote: »

but its not for 30yrs is it. That all depends on the type of insulation/boiler etc you get. If someone is foolish enough to replace windows that's a different matter.

Most loans will be for insulation cavity/loft (Payback well within 5yrs), or boiler longer but certainly not 30yrs.

As for loans on homes lets see, if the conveyancer has the capacity to explain how GD works there should be not too much of an issue.

Should there be an easier way to update the home? Yes and future tweaks will come but the principle of being able to borrow money from the savings made on the bills is a good one. I recommended a family to a scheme only this week (no I am not a GD assessor), as they had no heating other than electric portable heating. Forget selling the house as an issue they have just had a quarterly bill for £700+ and are still freezing. They want a solution to heat the house and lower bills. The solution? Storage heaters via GD.

The impact of the Green Deal on conveyancers [property practitioners] is provisioned for in the EA2011 based on the assumption that the repayments should never be more than the amount saved as evidenced by the EPC, therefore the new tenant / owner takes over that responsibility for paying it.

Now your conveyancing point, that conveyancer would by law have to disclose this cost transfer to the new purchaser / tenant and would include a signed acknowledgement in the contract so as to ensure that future bill payers are protected and the responsibility for making payments passes smoothly from one bill payer to the next.

Now your 'but its not for 30yrs' point, my calc was in a direct answer to someone 30 year question, and was arithmetically correct, any duration less than 30 years or borrowed figure different to £3400.00 you would need to re-calculate ............ obviously.

Everything upfront and open to scrutiny.

sheffield_lad

Richie-from-the-Boro wrote: »

The impact of the Green Deal on conveyancers [property practitioners] is provisioned for in the EA2011 based on the assumption that the repayments should never be more than the amount saved as evidenced by the EPC, therefore the new tenant / owner takes over that responsibility for paying it.

Now your conveyancing point, that conveyancer would by law have to disclose this cost transfer to the new purchaser / tenant and would include a signed acknowledgement in the contract so as to ensure that future bill payers are protected and the responsibility for making payments passes smoothly from one bill payer to the next.

Now your 'but its not for 30yrs' point, my calc was in a direct answer to someone 30 year question, and was arithmetically correct, any duration less than 30 years or borrowed figure different to £3400.00 you would need to re-calculate ............ obviously.

Everything upfront and open to scrutiny.

I still don't see any other better alternative to GD. If you have money yes go out and DIY, if you qualify for ECO fab but if you don't have the money and want a warmer home or smaller bills or both I can't see another option which does the job.

Posting about 30yrs and the high interest amounts is in my opinion creating a scare story. Just my opinion.

Richie-from-the-Boro

howee wrote: »

I still don't see any other better alternative to GD. If you have money yes go out and DIY, if you qualify for ECO fab but if you don't have the money and want a warmer home or smaller bills or both I can't see another option which does the job.

Posting about 30yrs and the high interest amounts is in my opinion creating a scare story. Just my opinion.

I mentioned to you, it was not scare-mongering but answering a question asked. Facts are facts, numbers are numbers. its not a fixed 7.9% APR for everything a householder might want from the Green Deal.

Individuals with no creditworthiness are precisely the group targeted. Its right money saving alternatives and the pitfalls of GD if it ever gets off the ground, are exposed in a money saving group. People can then go ahead knowing what they are getting into and be aware of future otherwise unseen implications for their loan term.

sheffield_lad

Richie-from-the-Boro wrote: »

I mentioned to you, it was not scare-mongering but answering a question asked. Facts are facts, numbers are numbers. its not a fixed 7.9% APR for everything a householder might want from the Green Deal.

Individuals with no creditworthiness are precisely the group targeted. Its right money saving alternatives and the pitfalls of GD if it ever gets off the ground, are exposed in a money saving group. People can then go ahead knowing what they are getting into and be aware of future otherwise unseen implications for their loan term.

It's your wording which make it sound like a con "group targeted" as if someone in a pinstripe suite has his eyes on the prize. These folk are not target mearly the very type of homeowners who cannot affor a new boiler or get credit lol.

The 7.9apr btw was for solar not GD

John_Pierpoint

howee wrote: »

Hi John PM sent.

It is only for my local area (South Yorks), but gives you an idea of how it works. I am sure there are other firms offering this all over the UK

Hi howee,

Thanks for the link, I am sure nobody would regard this as pure spam.
I am perfectly happy to publish it here on the open forum and let everyone comment on it.

Just as I have said you can get cheaper money from the Nationwide Building Society (if you qualify for their terms and conditions); this appears to be an attempt to introduce relatively cheap Japanese sponsored money to extend the market to the income reasonable, cash poor, loan secured market.
[just as the Green Deal should in theory be able to do]

After the drubbing the Japanese have taken from falling PV prices, they must be desperate to get away from competing just on price.

John

Let me know if you have any other reasons for sheltering the offer of finance from the oxygen of publicity.

sheffield_lad

That's fine John.

Feel free. I am sure we are going to see a lot more of this when RHI is launched later this year as it can be used with GD funding.

John_Pierpoint

Two alternatives to the Green Deal and the Loan Shark deal

http://www.wssystems.co.uk/solar-finance

http://www.businessgreen.com/bg/news/2242368/nationwide-launches-new-green-home-loan

Compare and contrast.

Blackdeal

Hi
I had an assessment completed by British Gas recently (took 6 weeks for them to write the report they charged £100 for!). However they have now advised that they are not yet a provider.
I have searched the Energy Trust website for providers in my local area and the result has been a disaster!
Of 10 providers only 1 is going to give me a quote. 2 have not responded and the rest cannot serve my area or do not have processes in place to quote. Furthermore, British Gas have advised that the actual finance package has not yet been agreed by the Government, so it seems even if I could find a provider the finance is available!
Has anyone else had these issues?

Thanks