northen rock mortgage

gemjam_2

me and my partner were first time buyers and took out a mortgage with northen rock because my partner is self employed and they were the only ones really that would look at us,we took out a fixed mortgage with a 1000 pound cash bk offer which basically ment it knocked a thousand off our mortgage the contract was for 3 years but we did not realise that after 2 years they could change the rate and had a shock when they told us our mortgage repayments would go up £200 a month, now we are stuck because we cant get out because we have to pay them bk the £1000 pound? can anyone help because we are really stuck and starting to panic!!!!!!!!!!

17Dave

Nasty little trick that 3 year tie in on the £1,000.
I am sorry you were not clear on the 2 year deal on the rate - too late I know but always read the paperwork - the Key Facts Illustration will have the details clearly stated - and your adviser SHOULD have explained it to you.

Only 2 options - carry on for another 12 months - your post seems to suggest this may not be possible.

Or remortgage to include the penalty - you should get a better rate than NR's standard rate.

Dan_Collins_2

That will be the "help with costs"! It has become a pain, they have changedthe amounts and terms over the years.

I am afraid that you have no options as to get out of the £1000. Direct NR only give info and not advice so you have to read the small print. In the offer and KFI it would have stated the 2 year fix and the 3 year HWC. However if they offer you a good rate I believe they waive the fee for sticking with them!

Also you only have to save say £42 over two years and you have your £1000 back!

gemjam_2

thankyou guys for your help, we are going to try the remortgage thing,hopefully we will have some look