SPML - Southern Pacific Mortgage Limited

tomambros

so they wrote me like this:

05/06/2007 - 31/05/2008 - 6.000% - £9.972.15
01/06/2008 - 31/05/2009 - 6.000% - £9.790.36

so what after 31/05/2009 I guess I will can change or move?

twenty_20

friendgeorge wrote: »

we were with these and please please please think very carefully about being with these people, they are ruthless we finally got away from them about 2 years ago but we had to pay, and we are still strugglying due to them, if you can get with a mainstream mortgage company go with them

can you elaborate friendgeorge. im am considering taking out a sub prime mortgage, similar to SPML.

what are the main pitfalls to look out for ? obviously the earley redemption penalty and missed payment penalties. is there anything else to be aware of ? thanks

financial_solution

tenty 20,

The major considerations are as follows:

1) The interest rate being charged will be higher than high-street lenders.
2) The initial set up charges "may" be higher than high street lenders.
3) The early redemption charges are usually higher (and may run longer).
4) With sub-prime deals brokers often charge a higher arrangement fee.
5) The account management fees may also be higher.

When you are considering the application you will be furnished with a Key Facts Illustration (often referred to as the KFI) which should, as the name suggests outline all the material information. A reasonable broker would get you the KFI without charging. This is effectively them "putting in writing" their suggestions. You are not commited to an application just because you have been given a KFI so dont worry.

Dont forget that although such mortgages are inherently more expensive than mainstream mortgages they are being lent in circumstances that the mainstream lenders wont consider. As long as you are furnished with the relevant information and make a considered decision there is nothing wrong with them if taken in the right circumstances.

Also remember that if one lender will lend to you the chances are others will do too. So without trying to confuse the issue I would urge you to shop around and suggest you contact a broker/adviser, especially as you are considering a sub-prime lender. By and large the important thing is to get the best deal for YOU and the best arrangement fee (if any)etc from the adviser.

Hope this helps,

Others may have their views to add.

Good Luck,

Regards,

Mark

herbiesjp

Nothing wrong with SPML as long as they are the best lender for your situation

Mr_helpful

They are bloody hopeless. You jump through burning hoops backwards and they still find more to ask for. I have them on a par with Rooftop

Tashja

Sorry I agree with Mr Helpful:(

We had a buyer on our house last year and SPML were her lender - they were terrible.

They wanted her to have 6 surveys done in the house (which she had done), they then gave her a 100% mortgage in 1 letter, next letter withheld £1,000, she paid the £1,000, next letter with held 100% of the mortgage, then they with held £5,000, she got the £5,000, then they with held 100% again, then they asked for another survey. At one point they said the house was uninhabitable???

In the end I pulled out of the sale because me and DH were nervous wrecks over the whole thing.

They even sent all her proof of ID to me and my DH in an envelope with our names on it ???

I am afraid to say that they came across as a bunch of cowboys and I know it cost our ex-buyer a lot of money. She did everything she could to please them and everytime they came up with something new for her to do.

T xx

herbiesjp

Mr_helpful wrote: »

They are bloody hopeless. You jump through burning hoops backwards and they still find more to ask for. I have them on a par with Rooftop

LOL :rotfl:
Cant say i've had the same acrobatics - but speak as you find

JoeK_3

tomambros wrote: »

so they wrote me like this:

05/06/2007 - 31/05/2008 - 6.000% - £9.972.15
01/06/2008 - 31/05/2009 - 6.000% - £9.790.36

so what after 31/05/2009 I guess I will can change or move?

Have a look at your mortgage Keyfacts document for any extended penaties after 31/05/2009.

Yes you can change if your income is sufficient at the time.

JoeK

Little_Miss_Saver

My first mortgage was with SPML, and I was paying over the odds on interest. I assumed with my poor credit rating (which it wasn't) that I couldn't get a mortgage.
They was recommended to me by a mortgage broker who shouldn't have been one as his recommendations were for personal gain. (I'm sorry if that offends anyone and I know that he is the minority)
Anyway, we didn't have any major problems with them. We remortgaged after the 2 years mainly to get a better rate of interest (went from 9% to 4.9%!!). We had to pay a £3k redemption which seems alot but in the long term it was worth it.
I would not use SPML again though if I could help it.

LMS xx