YBS Loyalty product need to go through a 45 minute financial health check

newbie5001

I have discovered since my loyalty product ended in May 2014 i fall into a loop hole where i now have to go through a full financial check with advice if i want to get a new loyalty product which could take 45 minutes. Apparently between when the regulations came in and July Yorkshire Building Society did not have to send out exclusions for people wishing to change their loyalty product and now this only applies to mortgage deals ending after July so i cannot even apply online.I do not wish to change any of the terms of my mortgage just move to a lower rate. I meet all their criteria set out to get a new loyalty product and have a LTV of 61%.

I would find it difficult to spare 45 minutes since i cannot guarantee when they will be available, also i have had real issues trying to get through to them. I also am working 6 days a week at the moment on a contract so would find it very difficult to get to a branch. Are they correct in trying to force me into taking advice which i do not need/want and not happy having to disclose all my current financial details to them. It seems strange been forced to take a review when i am trying to decrease my possible liabilities to them by gaining lower mortgage payments by moving to a fixed deal.

Anyone any advice

Dave_the_Ginger_Cat

Not sure this is a loophole - these are typically where people try to get around firms' requirements, wheareas you're suggesting the opposite if I read correctly.


What you're experiencing is increased scrutiny and rigour around lending (and changing deal can be classed as lending). They are perfectly within their rights to ask you questions about your finances - after all you owe a sum to them.


If you want to sign up for a deal, and their requirements are that you have an interview, then you need to go do that. And if you were happy to disclose your financial circumstances to them at application, I see no reason why this should not still be the case.


Mortgage products are becoming increasingly regulated, and whilst the banks are supportive for the rationale for the regulation, do not necessarily dictate it.


So that's a long-winded way of saying you need an interview. You may find they operate a telephone based service which may suit your needs better - do ask

newbie5001

The facts are i can afford to pay my mortgage now so why would i need a financial health check to see if i can afford to pay less than i would be doing. Does not make much sense at all.

Also their website states that people changing products whos product has not not yet ended "will not" have to go through a health check. Why is it different for me. The impression i got on the phone is they are decided who is allowed to be excluded, is this the way the new regulations were meant to work.

If i were guaranteed to be offered a new product after "the interview/sales pitch" it would probably be worth my time taking the time off to do it. I meet the criteria for a product change which does not mention having to do a financial health check.

What benefit would going through this check be for me, after all the advice i get would not be independent and having been involved with their financial advisors in the past i would not rate the advise they would give

dimbo61

Check what your mortgage reverts too after the fix ends!
We had a fix with YBS and it went onto a tracker deal and not the SVR of 4.99%
What have you got to hide.
No one is busy 24/7. Give YBS a call.

dj1471

newbie5001 wrote: »

Also their website states that people changing products whos product has not not yet ended "will not" have to go through a health check. Why is it different for me. The impression i got on the phone is they are decided who is allowed to be excluded, is this the way the new regulations were meant to work.

The regulations do not require an affordability check if you aren't borrowing any more money. From the FCA website:

If you already have a mortgage and want to remortgage, a lender may be able to arrange this without doing all the affordability checks.

The lender will still have to do the checks if you are:
* increasing the amount you are borrowing
* making a change that might affect what you can afford (for example, extending a mortgage into your retirement, or removing someone from the mortgage contract)

But if they want to do an affordability check anyway it's up to them.

newbie5001

Seems the YBS are too busy lol. Tried to get through various nights for a sorry all our advisers are busy after spending 5 minutes giving out all details again.With Contracting my time off is limited basically Monday-Friday after 18:00. Even though i will now take their test/advice i cannot get through to do it

newbie5001

Just finished my Interview and i have to eat humble pie all went fine and it was a decent non presurised chat. MY advice is do not whine like i did get on with it and it will be ok