Have YBS just played me?

edindie

I've had a mortgage in principal agreed with Yorkshire Building Society for a week and decided to go ahead with it on Friday. I rung the guy I saw originally to progress things, but he was unavailable so I left a message. I then went into a branch on the Saturday and asked to progress things (when I was presenting the documentation they needed) but was told that I needed to speak to the same mortgage advisor. I rung back again on Monday to finalise it, spoke to a different advisor who again suggested that I wait to speak to the original guy.

I finally got through to the original mortgage advisor today and as I requested to finalise the mortgage in principal we agreed a week ago he tells me the rate has now changed and I will have to pay and extra £2,600 in interest over the life of the mortgage product.

I realise this is all probably an innocent attempt to secure a more continuous face to face relationship with the customer, but I can't shake the feeling that I've just been violated and they have deliberately delayed agreeing the mortgage just to get more money out of me.

Has anyone heard of any instance where a complaint has resulted in being allowed to go back to a previously available rate? I would complain if I thought there was a chance, but given it's probably an innocent coincidence, I don't want to put a complaint on someone's record unnecessarily.

ACG

Over the life as in 25 years?
How much over the term of the deal? Is it a 2, 3 or 5 year deal? Most people swap and change every few years anyway.

Thrugelmir

edindie wrote: »

Has anyone heard of any instance where a complaint has resulted in being allowed to go back to a previously available rate?

Unless you've submitted a full application and paid the product fees, then no. Rates change all the time, up and down.

edindie

Thrugelmir wrote: »

Unless you've submitted a full application and paid the product fees, then no. Rates change all the time, up and down.

That's what I thought. No fees were paid, it's just annoying to be put off three times and then be slapped with an increased rate!

The £2.5k was over the life of a 5 year fix deal (not the 25 year term).

dunstonh

Has anyone heard of any instance where a complaint has resulted in being allowed to go back to a previously available rate?

No. Deals can be pulled at a moments notice Whilst lenders will typically honour the rate for a number of months after if the mortgage has been agreed and a contract/offer letter issued, they rarely do that on deals where the application hasnt even been submitted yet.

I realise this is all probably an innocent attempt to secure a more continuous face to face relationship with the customer, but I can't shake the feeling that I've just been violated and they have deliberately delayed agreeing the mortgage just to get more money out of me.

Not at all. Most branches have one or maybe two mortgage advisers. Saturday morning coverage tends to be weak at many branches as its not a full service day.

The deal was probably pulled on Friday or over the weekend (and notified first thing Monday morning). The mortgage clerks/advisers tend to be given little notice of these things unless it is coming to the end of deal offer date and hasnt been pulled early.

Cage

What I'm puzzled at is how no-one else could help you apart from the original person.

I was in an opposite situation to you, I had an AIP and my rate actually went down while waiting for credit check being done and it was changed.

edindie

They probably could have helped me (especially since I've now been told we can progress things over the phone) but as it's a building society I wouldn't be surprised if they've been told to try to develop personal relationships with customers by the same person dealing with them all the time.

Crucially, when I was told that I should probably wait until the original mortgage advisor was free, I never said "No, I want to do it now."

And besides, their objectives / bonuses would probably be around the number of mortgages sold not the value of them to the building society. Hence there would be no incentive to delay me (it seems I am trying to perasuade myself now!).

kingstreet

As we head towards April next year, lenders are going to move over to the advised model, which will apply from then. To achieve that, you need continuity, to ensure the borrower gets the product or service he requires.

They may well feel keeping the advisor/client relationship intact during the advice process is essential to that.

Product rates change quickly and with little, or no warning, as they are reliant on limited tranches of funding.

dunstonh

What I'm puzzled at is how no-one else could help you apart from the original person.

Lack of Cemap qualified (or equivalent) at that branch maybe. Coverage maybe a phone call to a different branch who can do no more than give generic information if the client file is held at another branch.

The adviser has the liability for the advice they give. If others start getting involved in the advice process without knowing the facts they could damage the advice process and cause incorrect advice.

dimbo61

So £2500 over 5 years or less than £10 a week.
Can you get a better rate with another lender