Increasing term issue

Amanda23

I spoke to my bank and asked if I could overpay my mortgage each month temporarily and not on a permanent basis.

They sent me out a form. I signed the form but added to the form that this is not on a permanent basis. Heard nothing.

I now want to decrease the payments to the 'normal amount'. They say, apparently, I'd signed a form to decrease my mortgage term so have to continue paying these higher amounts.

If I want to now increase the term, I will need to have a telephone conversation with someone for up to 2 hrs and fill out a budget planner.

The issue isnt about whether I can pay or not, the issue is I want to stop overpaying as I thought was possible.

I see it as their mistake, but I have to go through some bureacratic process of them assessing my income to increase the term. I'm guessing if they see I can pay, they won't allow the increase in term ?

What can I do, if anything ?

Thanks

kingstreet

Make complaint and if unsatisfied with the final outcome, escalate to Financial Ombudsman Service (FOS).

Lender should be able to cope with voluntary overpayments which reduce the term in which you will repay the mortgage, but not force you to make that level of payment if you choose not do so.

The contractual term you agreed to at the outset should still apply IMHO.

ValHaller

kingstreet wrote: »

.... The contractual term you agreed to at the outset should still apply IMHO.

I agree. The problem is that the lender thinks that you signing their form has changed the contract term. But by endorsing the form that the change is not permanent, you have kept the term exactly as is.

Escalate with an immediate complaint, making clear that you endorsed the form that it was not a permanent change.