How much info can a bank legally ask about my interest only mortgage?

LittleBFG

Hi all

I recently got a letter from my bank asking for information from me about how I plan to re-pay my interest only mortgage. It's got some 22 years left to run and I am putting money into an ISA and other savings schemes in order to be able to repay the mortgage.

I'm fine giving the bank general details and even a redacted statement showing the value of each but they are asking for account names, account numbers as well as the value of any savings I have. This feels rather intrusive. Can they legally request so much information?

Thanks

LittleBFG

TrickyDicky101

They can certainly request it - whether you choose to supply the requested information is up to you. The bank is highly unlikely to be able to call in your loan should you choose not to supply all the details.

ACG

Legally they can ask for whatever they like more or less.
I think you are probably over reacting a little.

They are asking how you plan on clearing the Mortgage.
So your answer would be, I am putting £x in to an ISA each month.

davidmcn

Not only is there nothing prohibiting them from asking, but I think they're legally required to ask. That doesn't necessarily mean you need to answer all of their questions, it's more to ensure that you can't argue you weren't reminded of the need to have a means of repaying the capital.

antrobus

davidmcn wrote: »

Not only is there nothing prohibiting them from asking, but I think they're legally required to ask. That doesn't necessarily mean you need to answer all of their questions, it's more to ensure that you can't argue you weren't reminded of the need to have a means of repaying the capital.

It's certainly a FCA thing.

Strategies exist to contact customers with interest-only mortgages, understand their repayment plans and provide appropriate solutions where no suitable plan is in place.

https://www.fca.org.uk/publications/thematic-reviews/tr18-1-fair-treatment-existing-interest-only-mortgage-customers

Makes sense. Bank writes to customer to point out that £300k is due and payable at some future date, and to ask what repayment plan is in place.

Customer is at liberty to tell the bank to naff off or not respond at all.

LittleBFG

Hello

Thank you folks for your input and insight. I think I!!!8217;ll do as planned - thank them for contacting me, tell them I have savings and am putting money buy to pay off the mortgage when due and total value to-date is £X. And then tell them to naff off/ignore requests for account names, numbers and names of the providers.

I!!!8217;ll let you know how it goes.

Thanks again.

Typhoon2000

The standard answer if you don!!!8217;t want any enquiries about accounts and amounts and such Is that you are going to sell the property.