Trying to extent Mortgage due to end of 25yr term

Thrugelmir

Why the recommendation to speak to Stepchange? Sounds as if they are other credit issues from Barclays perspective.

valleysvc

No I can assure you there are no other credit issues. Probably just reading from a script is my guess.

Thrugelmir

valleysvc wrote: »

No I can assure you there are no other credit issues. Probably just reading from a script is my guess.

The lender may take a different view to yourself. As to what constitutes an issue. In essence why they are unwilling to make any offer.

valleysvc

The issue is with the recognition of my income and I fully understand their position but there is no problem with my credit.

Any loans / credit cards have always been paid on time.

I am not interested in taking out a "new" mortgage as such but I obviously need an extension on my current one as the agreed vehicle to repay it is now not available until a later date than was assumed when the mortgage was agreed.

I just want to be in the same position I was before the law was changed i.e. to have to repay the mortgage from my pension fund when it is accessible.

TrickyDicky101

Have you considered writing to your MP? Clearly what has happened to you was an unintended consequence of the change to pension law. The lender will likely pay much more attention if taking this avenue. I would write (a proper letter!) and cc it to the Chief Executive of the lender - you should be able to find their details online. The resolution you are after is not unreasonable (you're not expecting debt forgiveness for example).

valleysvc

Thanks for the reply Tricky and yes I have considered this but was only told by Barclays this week they couldn't do anything for me until I default so am considering a number of options at the moment.

I can't be the only person in this position and wondered if anyone else had experience of this situation. As my pension funds are now in a SIPP the amount to cover the mortgage is now held on deposit as cash to avoid any market fluctuations.

There is no risk of me defaulting and I am only in this position due to a change in the law.

Thrugelmir

valleysvc wrote: »

Any loans / credit cards have always been paid on time.

I am not interested in taking out a "new" mortgage as such but I obviously need an extension on my current one as the agreed vehicle to repay it is now not available until a later date than was assumed when the mortgage was agreed.

Whether you pay or not is not the only issue. The amount you owe is. As this impacts affordability under the regulatory rules that the lender has to adhere to.

No such thing as a mortgage extension. It's a new contract. So new rules will apply. The mortgage is the deed placed on your property to secure the debt. You are applying for a new loan.

From the lenders point of view. There's no assumed repayment date. As that's the purpose of the contract. To very specfically define such points should a disagreement arise.

valleysvc

Are you saying that the terms of a contract can't be varied if both parties agree ?

valleysvc

And the 'assumed'' date refers to the date that my pension would be available and does not refer to what you assumed.

Thrugelmir

valleysvc wrote: »

Are you saying that the terms of a contract can't be varied if both parties agree ?

Not how it works. Contract terms and conditions have changed in the intervening period, i.e. since both parties entered into the existing one. Therefore a new contract will be issued to accord with the the change in regulations and the law itself.