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chris.mitchell

Hi - an update for you.

I sent MBNA a copy of the letter that Principality provided us with, confirming that the mortgage was a joint tennant mortgage.

We have today had a letter off MBNA, stating that the account will be terminated in November. They then go on to say that the full balance will then be payable in full.

What do you propose our next step could be? Is it worth contacting the Ombudsmen?

lawstudent

There is no next step. The account is closed, they have no legitimate expectation of being paid from the estate. Anything they tell you to the contrary is in the hope someone will make a payment regardless of this. Have a happy life and move on, if they continue to contact you make a formal complaint and then take it to the ombudsman. I don't think they will however.

noh

How the house was owned, joint tenants or tenants in common, has nothing to do with the mortgage company.
What matters is what is recorded at the land registry.

MBNA have searched the land registry and have most likely found a "form A restriction" on the property title. This most likely means the house was held as tenants in common and a proportion of the equity is part of the deceased's estate. If so MBNA do have a claim on the estate.
http://www.landregistry.gov.uk/public/guides/public-guide-18

Even if the property was held as joint tenants and the estate was insolvent they could still make a claim.
http://www.insolvencydirect.bis.gov.uk/CaseHelpManual/D/DeceasedInsolvents.htm

chris.mitchell

noh wrote: »

How the house was owned, joint tenants or tenants in common, has nothing to do with the mortgage company.
What matters is what is recorded at the land registry.

MBNA have searched the land registry and have most likely found a "form A restriction" on the property title. This most likely means the house was held as tenants in common and a proportion of the equity is part of the deceased's estate. If so MBNA do have a claim on the estate.
http://www.landregistry.gov.uk/public/guides/public-guide-18

Even if the property was held as joint tenants and the estate was insolvent they could still make a claim.
http://www.insolvencydirect.bis.gov.uk/CaseHelpManual/D/DeceasedInsolvents.htm

if you take a mortgage out as 'Joint Tenants' why would the land registry say different? I'm confused..

noh

The mortgage is irrelevant.
The ownership of the house is what matters.
See section 3.2 of the land registry document I linked to above to obtain a copy of the transfer form used when the house was purchased or obtain a copy from the conveyancer used. The form will record the ownership.

If the house was recorded owned as tenants in common then your sister has more serious problems if her partner died intestate the portion of the house he owned would not pass to her.

Was there a will? Who is the executor? Have letters of administration/probate been obtained?