Interest only Mortgage - sign this petition pls

B_G_B

Maybe try at your local pub at around 11 o-clock tonight. You may get a few takers there.

brit1234

From the petition page:

For many years people were sold (mis-sold) interest only Mortgages which, in effect, could never ever be paid off - because you are only paying interest.

For years people have been 'trapped' in these type of mortgages by banks ( who deliberately manipulate and fix lending criteria to suit their own greedy purpose) with owners having no prospect of actually owning their home, coming to the end of their payment period at an age where they may be facing retirement or low or no income and face losing or having to sell their home because they have paid nothing off of it.

Banks need to immediately switch customers from these types of loans to better products without any fuss or obstacles in the way at all, and then compensate these customers-victims who have been cash cows for them, with nothing to show at the end of all the years paying their interest only loans.

These types of never ending 'blackhole' loans should never have been offered against such a hugely important thing - a home - in the first place and banks should be made to recognize this and make good for the utter abuse of their own customers they are responsible for which needs addressing by Government right now.

Below is a report by the Guardian giving more details:
Guardian Newspaper Report
It's a massive scandal far worse than PPI !

https://www.change.org/p/theresa-may-mp-force-banks-to-compensate-for-selling-interest-only-mortgages


Ok I have read through the petition page and I am struggling to understand the miss selling? You have taken out a interest only mortgage because you have a repayment vehicle like share investment or large inheritance etc which will repay the outstanding sum better than a repayment mortgage.


Where is the miss selling? Its an interest only mortgage, you much know you have to repay the outstanding sum? Its clear in the terms of the mortgage you have to have a repayment vehicle. If you have opted for this cheaper mortgage with its repayment vehicle condition and don't have one then aren't you committing fraud?

dunstonh

For many years people were sold (mis-sold) interest only Mortgages which, in effect, could never ever be paid off - because you are only paying interest.

Whilst many financial products have names that may be difficult to understand, an interest only mortgage is about as obvious as you can get.

For years people have been 'trapped' in these type of mortgages by banks ( who deliberately manipulate and fix lending criteria to suit their own greedy purpose) with owners having no prospect of actually owning their home, coming to the end of their payment period at an age where they may be facing retirement or low or no income and face losing or having to sell their home because they have paid nothing off of it.

For years, people on interest only mortgages have been able to benefit from the equity gained in their property rather than rent and give the equity gains to someone else.

Those that have failed to take the advice given by lenders for the best part of over a decade by not moving to repayment basis or having a repayment vehicle will at least know they have gained money from their choice.

Banks need to immediately switch customers from these types of loans to better products without any fuss or obstacles in the way at all, and then compensate these customers-victims who have been cash cows for them, with nothing to show at the end of all the years paying their interest only loans.

This makes no sense. People can switch to repayment basis whenever they like. They can also overpay their interest only mortgage to turn it into a defaqto repayment mortgage.

These types of never ending 'blackhole' loans should never have been offered against such a hugely important thing - a home - in the first place and banks should be made to recognize this and make good for the utter abuse of their own customers they are responsible for which needs addressing by Government right now.

Sell your house then and move back to renting. Whilst you are at it, gift any equity gains you have made to charity.

It's a massive scandal far worse than PPI !

it is. However, the scandal is the education system that churns out people who cannot understand that interest only means you pay the interest only and who cant read the warnings that have been plastered on their statements for over a decade. Or fail to understand the warnings solicitors give when you buy the mortgage. Or the warnings given by mortgage brokers.

The scandal is that some people put more effort into buying and researching their mobile phone contract than they do their mortgage.

I will not be signing this petition as it is pointless and waste of time.

For normal people, they may be pleased to hear that the FOS have no issues with interest only and are not expecting any mis-sale issues. I was at a meeting recently and they said that some consumers with interest only mortgages may have to sell up in the end but they have had years of building equity in to the value and plenty of opportunity to change if they wanted to and are better off financially, even if they cant stay in the same home.

upoiupou

If you took out an interest only mortgage and didn't set up an adequate repayment vehicle, then you were mis-selling yourself to the lender.

dobymicks

How dare you try to force my bank into switching me to a repayment mortgage. :mad:

I am very happy with my current arrangement.

csgohan4

Is this thread a Joke?

jaybeetoo

csgohan4 wrote: »

Is this thread a Joke?

I had to check it wasn't the 1st April.

I have an interest only mortgage and I haven't been scammed.

I understood what I was buying before signing a contract. Perhaps some people on these forums should try it. If you don't understand what your are buying then don't buy it! Simples.

haras_nosirrah

why should people who don't understand what the words 'interest only' be given lots of money. I could have paid £502 a month less on my mortgage if i had gone interest only but i decided to pay my £1070 a month to make sure i paid my loan off. What you are suggesting is if I had gone for interest only that I should get to keep my £500 a month and get some compensation as well? if people don't understand that an interest only mortgage means paying the interest only then they shouldn't be getting a mortgage.

csgohan4

Don't feed the troll... just saying

DomRavioli

BritGuy wrote: »

Being the net, I am not entirely surprised that there are some very nasty people on it, but quite a few seem to be gathered on this thread. I can't see anything remotely nasty.

Your silly comments aren't welcome and rather than smugly citing your own situation, why not take time to read the Guardian report I also list on the Change org page which is a reality, which just 1 person has posted here. Now who's being nasty eh?!

It really is worth getting all the facts before shooting off with nasty comments.Again, you're the only one coming across as nasty.

Also, some of you would never use the langauge you have if you were standing in front of me because so pls refrain from your comments and read all the facts and use your brains rather than your keypads first. It's a keyboard, keypads are numeric. And believe me, most of us would quite happily stand in front of you and say if you don't understand basic terminology, you should blame yourself, not a provider.

Your lack of experience in understanding what really is happening to certain mortgage holders is very clear. What...that they're stupid?

It's a valid campaign which effects many many people who were sold something that should never have been made available in the first place. Not a valid campaign. You can't get 5 signatures let alone 100,000. Jog on.

See above in red, then kindly go away.