Mortgage settlement offer

martin49

3 years ago my mortgage company offered £80,000 discount if I settled my full mortgage of £500,000 within the year. I wasn't in the position to do that, but am able to now. The mortgage company has since moved all its mortgages to another company, so Im not sure if the new company would do anything like this. Any ideas how to approach them with a letter?
Current mortgage is in arrears, and could settle within 16 weeks, if they gave a discount.

ValHaller

The reason they offered you a deal at 80% was probably because that was better than what was being offered by the eventual buyer. I doubt the current lender will be so interested unless the interest rate is particularly low. Still nothing ventured nothing gained.

Thrugelmir

martin49 wrote: »

Current mortgage is in arrears, and could settle within 16 weeks, if they gave a discount.

Then I guess the lender will happily take possession to clear the debt owed.

The incentive was only there when your old lender was looking to realise it's mortgage book.

martin49

Thanks. Is it worth asking though, or do you think they will want full settlement? We are selling house and have been offered £420,000 but have £500,000 mortgage outstanding?

Thrugelmir

martin49 wrote: »

Thanks. Is it worth asking though, or do you think they will want full settlement? We are selling house and have been offered £420,000 but have £500,000 mortgage outstanding?

Would it make any difference to your financial position? As the sale proceeds aren't going to clear the mortgage anyway.

chanz4

they are not going to let you sell it with that much difference owing