1980's partnership mortgage Help!

CurlyPreston

Hi - Looking for some advice please - my sister has some serious health and mobility issues and needs to move to one-level accommodation as soon as possible but there are some problems with her mortgage. She took out a '[Partnership mortgage' in the late 80's - Her understanding (Until recently) was if she sold the property within the first 5 years she would have to pay back 50% of any profit. After that the percentage would diminish each year. It was a special interest only for 5 yrs for health and public sector workers.

In 1996 she went to see her branch manager who said the mortgage was no longer in existence and she was now on a 'Capital Repayment Mortgage' her end of year statement calls it this and she thought that was that.

However she recently requested a copy of her mortgage agreement and since then her statements have been changed to say 'partnership mortgage' She only has 6 yrs left on the mortgage but I am wondering 3 main things (but if there's something I have missed I welcome all info advice etc..)
1 - is it possible to claim mis-selling of a mortgage?
2 - What can be done about them saying she has a capital repayment and then just changing it back again? (seems a bit sneaky to do that just because she asked for a copy of paperwork)
3 - Would the 50% profit due (if it's due) still be payable once she has finished paying her mortgage.

Thank you in advance

Let_Us_See

Impossible to provide specific advice with the limited information provided. and some of it just doesn't make sense.

The answer to all your questions will be found in the original Terms and Conditions and it would be of great help if you could provide the relevant sections.

loubel

1. Why does she believe it was missold?
2. You said it was interest only for 5 years and then switched to repayment and that the bank confirmed this in 1996. Do her statements indicate she is still interest only? If so, why didn't she raise this sooner when she saw she wasn't reducing the balance?
3. You said the profit repayment would diminish gradually so check the offer to see whether anything is still payable on redemption.

CurlyPreston

Let_Us_See wrote: »

Impossible to provide specific advice with the limited information provided. and some of it just doesn't make sense.

The answer to all your questions will be found in the original Terms and Conditions and it would be of great help if you could provide the relevant sections.

Sorry if it doesn't make sense - I will try to get more information from the paperwork - and post it thanks for you reply

CurlyPreston

loubel wrote: »

1. Why does she believe it was missold?
2. You said it was interest only for 5 years and then switched to repayment and that the bank confirmed this in 1996. Do her statements indicate she is still interest only? If so, why didn't she raise this sooner when she saw she wasn't reducing the balance?
3. You said the profit repayment would diminish gradually so check the offer to see whether anything is still payable on redemption.

Hi

1. Because she believed the 50% partnership was only for the first 5 years although the paperwork doesn't actually say that
2. Sorry I wasn't clear -the 1st 5yrs allowed her to only pay interest and then start paying capital after that - but it was still called a partnership mortgage - But the bank said it was no longer a partnership mortgage in 1996 (so she believed there would be no penalty of paying 50% profit on selling after 1996)
3. thanks will try and get all the paperwork

I'm a newbie to this so really appreciate the time taken to reply and sorry if I'm not making much sense

Let_Us_See

A Partnership Mortgage is simply a name. The Terms and Conditions of the mortgage will dictate the answer to your queries, and we simply need more detailed information.