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Gutted with RBS/Ulster Bank
rover25
Posts: 387 Forumite
Last Oct we approached Ulster bank NI to ask were they offering anything for negative equity mortgages customers. We want to move from our property but We bought in 2007 and would have large neg equity of 50k plus. I had read about Ulster bank in ireland offering neg equity mortgages for customers wishing to trade up or trade down.
Anyway advisor said they were working on something internally but nothing to be released for another couple of months. In Feb contacted bank again + same advisor said yes there would be an option for us.
If we had a %5 deposit+ could get a property with max 200% ltv
Said we could borrow up to just over 200k + then add on neg equity amount. Did say was always subject to underwriters and credit check 's. Advised us to look at houses + put own house on market. We did this and even had a face to face meeting the week after we put house up for sale. Anyway we got sale agreed on our house + offer accepted on another house. Had arranged appt to make full mortgage application the next week but before getting that far he rang to say RBS as parent company had asked for all work on negative equity to be sent to them by advisors. He said he didn't know why but something to do with RBS reviewing their policies. Said we should hear by end of last week. He had no update by last week and heard nothing until I rang today. Spoke to a different guy who was covering original advisors work (on leave). Said he would see what he co u of find out. He texted at lunch to say he would have more definite answer after 2.30. Heard nothing until he texted at 7pm to say that RBS will not permit yours mortgage application as we cannot provide advice on a negative equity situation. Added there doesn't seem to be a way around it.
I know they can do what they like but I don't know how it all change all of a sudden. What do they mean they can't provide advice. The advisor had even told me they had all had training in this negative equity mortgage product but that it hadn't been rolled out to public. Just gutted. Had our house sold and offer accepted within a week. Never mind the money we spent on tidying up house to put up for sale and time wasted viewing houses. Do I have any grounds to complain and who would I make an official complaint with if so or do I just suck it up:(
Anyway advisor said they were working on something internally but nothing to be released for another couple of months. In Feb contacted bank again + same advisor said yes there would be an option for us.
If we had a %5 deposit+ could get a property with max 200% ltv
Said we could borrow up to just over 200k + then add on neg equity amount. Did say was always subject to underwriters and credit check 's. Advised us to look at houses + put own house on market. We did this and even had a face to face meeting the week after we put house up for sale. Anyway we got sale agreed on our house + offer accepted on another house. Had arranged appt to make full mortgage application the next week but before getting that far he rang to say RBS as parent company had asked for all work on negative equity to be sent to them by advisors. He said he didn't know why but something to do with RBS reviewing their policies. Said we should hear by end of last week. He had no update by last week and heard nothing until I rang today. Spoke to a different guy who was covering original advisors work (on leave). Said he would see what he co u of find out. He texted at lunch to say he would have more definite answer after 2.30. Heard nothing until he texted at 7pm to say that RBS will not permit yours mortgage application as we cannot provide advice on a negative equity situation. Added there doesn't seem to be a way around it.
I know they can do what they like but I don't know how it all change all of a sudden. What do they mean they can't provide advice. The advisor had even told me they had all had training in this negative equity mortgage product but that it hadn't been rolled out to public. Just gutted. Had our house sold and offer accepted within a week. Never mind the money we spent on tidying up house to put up for sale and time wasted viewing houses. Do I have any grounds to complain and who would I make an official complaint with if so or do I just suck it up:(
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Comments
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He said he didn't know why but something to do with RBS reviewing their policies. (
At any time a lender can change their terms of business. Possibly they've absorbed a lot of similar business in the past few months and now wish to digest it. Before increasing their exposure again.
No grounds for complaint.0 -
Fair enough. I know they can change their mind😐 just feel we were really messed around. That's what I would feel like complaining about.0
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Fair enough. I know they can change their mind😐 just feel we were really messed around. That's what I would feel like complaining about.
No reason why they won't re-enter the market again at a later date. In the meantime do whatever you can to reduce the negative equity. This can only put you in a stronger position in the longer term.0 -
Can I ask where you increasing, decreasing or keeping the % LTV the same with the move?0
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I don't think you've been told correctly, I've just been approved for a negative equity move with Ulster Bank.0
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I wish the op had of came back, I've been successful in exactly the same situation and possibly could have helped, I think the advisor has let you down0
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I know this is an old thread by now but just like to let anyone that finds it l know that it is possible to move with negative equity with Ulster bank, we agreed in June and complete on Thursday0
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