NRAM's Consent to Let Fee increase

lauraeast23

mrginge wrote: »

lauraeast23 wrote: »

Make your mind up- in an earlier post you stated that the increased charge was because of expected defaults.

/QUOTE]

Did I?
Where exactly?

My apologies, that was another poster

mrginge

Whilst I still firmly believe that these charges are proportionate for what is meant to be a short term arrangement purely at the discretion of a lender, I would also like to apologise for any offense caused by any of my comments to either yourself or the OP.
I hope you can find an acceptable way forward in the face of these increases.

griangraf2001

Hi all,

I've just had clarification from NRAM that the annual CTL fees break down as follows:

Total mortgage balance <£100k : £375

£100,001 - £200k : £750

Greater than £200,001 : £1,250

So it's linked to total mortage value rather than LTV, which I assumed it would be.

englishrose2014

I couldn't agree more and am in the same position. I have complained to the finical ombudsman service who has deemed that the 700-1000% CTL fee increase is reasonable. I have written to Facebook and taken to twitter but i don't know what else to do. How can they justify after 4 years of us paying £100 per annum, to increase to £1250! This is going to crucify us and potentially bankrupt us! they say to add this to our mortgage each year, a mortgage that already is in great negative equity, hence why we rent the property out. This will then incur interest and worsen our financial position. someone needs to help!!!! Please

Thrugelmir

CTL is only ever deemed to be a short term arrangement normally of 3 years. Move back into the property is one option.

I do have empathy with you. However it's your problem to resolve.

sawebs

Anybody interested in clubbing together to start a legal class action against NRAM to stop the criminal CTL fees? Mine went from £100 to £750 and I don't see how they can justify it.

BTW what gives Thrugelmir the divine right to decide that CTL is only ever a short term arrangement? Surely that is down to the prevailing circumstances? If you are forced to move for work and are in negative equity, but there is a long term economic situation which is depressing house prices, then why should there be an arbitrary figure of 3 years?

sawebs

BTW anybody affected should sign the e-petition. I'm not allowed to post the link but if you search for epetitions it's petition number 63603.

wolfplayer

sawebs wrote: »

Anybody interested in clubbing together to start a legal class action against NRAM to stop the criminal CTL fees? Mine went from £100 to £750 and I don't see how they can justify it.

BTW what gives Thrugelmir the divine right to decide that CTL is only ever a short term arrangement? Surely that is down to the prevailing circumstances? If you are forced to move for work and are in negative equity, but there is a long term economic situation which is depressing house prices, then why should there be an arbitrary figure of 3 years?

Why not apply for a Buy To Let mortgage? Also I hope you are declaring your rental incomes, from your lettings business.

sawebs

wolfplayer wrote: »

Why not apply for a Buy To Let mortgage? Also I hope you are declaring your rental incomes, from your lettings business.

Thanks for stating the obvious. If I was in a position to apply for a BTL mortgage I would have either done so, or sold the property.....derrrr? As I am in negative equity but had to move for work, I am stuck with paying these huge charges.
Yes don't worry, I declare my rental income and the associated loss every year on my tax return. What business is it of yours anyway?

wolfplayer

I'm a renter with a fat deposit. Watched people outbid me for houses for years. When they're now renting them out under Consent To Let, it doesn't seem like 3 years grace, followed by a fee of £750 to £1,250 per year is that harsh a charge for a long-term professional landlord vs the higher rates and conditions you'd have to satisfy under a BTL mortgage.