New fixed mortgage while on DMP

Yummy-mummy

We fixed our mortgage just prior to starting our DMP 5 years ago. The fixed rate is due to end in March. Our current lender has quoted a new fixed rate but I decided to shop around for a better deal. I contacted Payplan who our DMP is with but they were unable to take it further as the lenders they deal with would want us to consolidate our debts which would put us in negative equity.

It seems that our only option to stay with our current lender but what I want to know is whether we have an obligation to tell them we are on a DMP. We've never defaulted on the mortgage. Our lender is RBS who is also our biggest creditor but we were informed at the start of our DMP that the debt and the mortgage were two completely separate things.

Would be grateful for any thoughts/advice on this.

Thanks.

chanz4

they will already know, if you are asked you will need to be honest if not its mortgage fraud

Dave_the_Ginger_Cat

I think if your current lender is offering a near decent rate, I would take it

If you've been in a DMP, your credit record will not be appealing to many high street lenders, and would be surprised if you can better your lender

kingstreet

Lenders normally offer customer retention products with no further income or status checks.

See what your lender has to offer and decide if you think it is worthwhile.

davibullfrog

Hi all, i have been on a DMP for 18 months and my fixed term comes to an end next month. I contacted Santander to renew it and they turned me down. I have not missed a mortgage payment/been late or in arrears. I told them i did not want to borrow anymore money but just to have the same offer as any other loyal customer! They said no and i will have to go on a variable rate. Is this not discriminating me against other customers when i have not defaulted my mortgage payments. It seems to me that if you get in financial difficulties they would rather you lose your home than help, as they know you cannot get a mortgage with anyone else and thus trapped with them for the duration!

Any help would be much appreciated.

Thanks

thequant

davibullfrog wrote: »

Hi all, i have been on a DMP for 18 months and my fixed term comes to an end next month. I contacted Santander to renew it and they turned me down. I have not missed a mortgage payment/been late or in arrears. I told them i did not want to borrow anymore money but just to have the same offer as any other loyal customer! They said no and i will have to go on a variable rate. Is this not discriminating me against other customers when i have not defaulted my mortgage payments. It seems to me that if you get in financial difficulties they would rather you lose your home than help, as they know you cannot get a mortgage with anyone else and thus trapped with them for the duration!

Any help would be much appreciated.

Thanks

You cant pick and choose who you default with and then expect other lenders not to take notice that you are a person who does not pay back their debts.