I think our lender is trying to weasel out at the last minute

BrandNewDay

We were supposed to move house this weekend. Friday morning, the solicitor called and said, "They didn't release the funds. Said they sent out paperwork earlier in the week, re-offering the loan." At the end of a confusing day, we found out that the original contract had had a typo on it and they wanted to have us sign new papers. Got the papers on Saturday and returned them to the Mortgage Advisor immediately.

Today, Mortgage Ad called and said that now the lender is saying they don't have our Standard of Security or Certificate of Title. These were things we signed last week. I'm pretty sure they were sent by the solicitor, although I suppose there's a chance he didn't. (He's out of the office, today, so who knows when I'll get that answer.)

I have the weirdest feeling that Preferred are just trying to get out of this mortgage. I've had that feeling since Friday morning, when this all happened. I thought, "What with Northern Rock in the news and everyone in hysterics, maybe they're having some problems, too. Maybe they're about to make some awful announcement of their own and in the meantime, have put a freeze on any new transactions/agreements." It's not logical, but that was my worry.

Getting the new contract to sign Saturday alleviated my worries, but now I'm thinking it, again. C'mon - NOW they're saying they're missing these key documents? I don't buy it.

You see, we're in the subprime category. I think a lot of lenders are developing a sudden allergy to subprime, and rightly so.

Secondly, we're buying an ex-council house with steel beams in the roof. I just read an article in the Financial Times yesterday saying that a lot of lenders are now suddenly rethinking offering mortgages on several types of property, including high-rise flats, concrete construction, timber frames, and ex-council houses.

Does anybody else think that there might be something to my suspicion?

Incidently, I've decided that I won't be upset if this falls through. I can be happy, no matter what. We know the sellers and the repercussions from the sale falling apart would be minimal, although there would be a loss of some money. Frankly, I've decided that if we don't get this house, we'll just try for another baby.

franbrowne_2

Hiya, we just had a lucky escape from Preferred. We were 2 days from completion and had already exchanged contracts when they realised they actually didn't agree with the terms of the shared ownership contract and pulled out. They were b*stards to deal with, refusing to speak to me, and would only talk to my broker. I ended up complaining to the Financial Ombudsman and managed to get some fees back, but feel vert realised we got out when we did. They seem to know nothing about customer service!!

poppy10_2

How much are you trying to borrow, and on what income?

Conrad

Preferred completely overhaouled thier range yesterday to include:

No more lending above 75% where adverse credit is anything other than 'mild'

No more self cert for employed

0.75% rate increses accross the board, and so on.

You fears may be well founded. Keep in mind lenders must abide by the core FSA principle known as TREATING CUSTOMERS FAIRLY which according to FSA must sit at the centre of EVERY process within the lender. Just in case you want to comlain and get some money back.

Remember always do this in writing and only to the MD personaly and use Special Delivery post which you can track.

BrandNewDay

Looks like we got in just under the wire, then.... we got the mortgage and have now moved in. It was frustrating, but it was delayed only by a week.