Principality FSA Paranoia

barnstar_2

Hi there,

Can someone offer some advice pls!

Several months ago the Principality wrote to me in order to ask me if I would like to transfer my mortgage to be regulated by the FSA (as they say it currently isn't.)

Now I didn't see this letter as being very important (I have had a mortgage for five years with them and had no problems.) Well, since then they have written to me several times, stating that it is urgent that they speak to me about this subject. Eventually they rang me at home, and to be honest, call me paranoid but they seem really keen for me to switch over, too keen. They have since written to me again, this time underlining the urgent! : )

They say this won't effect my mortgage, and if they had left me alone I would have probably gotten around to it, but they seem way too keen to me?

Am I right to be suspicious, could this effect my current terms in some hidden way? Or am I being paranoid?

barn

PS Kurt Cobain - "Just because you're paranoid, doesn't mean they aren't after you!"

knuckledragger

bump for a reply anybody?

MortgageMamma

ok, firstly u have nothing to worry about. just give them a call and dont let the letters get to you, they will be sending those letters out to prove to their regulator the FSA that they are doing the utmost to ensure you benefit from the consumer protection afforded to you since fsa regulatated mortgages.

Give them a call, talk it through. Being FSA protected is only beneficial for you.

MM

Jonbvn

Commercial and BTL mortgages are not covered by the FSA. AFAIK, residential mortgages from UK lenders are automatically covered by the FSA. Therefore, I am somewhat perplexed why your mortgage is not covered.

Noz

Jonbvn wrote: »

Commercial and BTL mortgages are not covered by the FSA. AFAIK, residential mortgages from UK lenders are automatically covered by the FSA. Therefore, I am somewhat perplexed why your mortgage is not covered.

The mortgage may have started pre-mortgage regulation

MortgageMamma

I assumed it was started pre regulation, but if its BTL and a family member or even client lives in property then it could be regulated

MarkyMarkD

I don't understand why Principality are using this as an excuse to contact their borrowers.

There's no obligation on lenders to encourage pre-regulated borrowers onto regulated contracts.

MortgageMamma

if they got customer contact consent forms signed at the back of the mortgage declaration they would not need an excuse to contact..... I really dont understand this either, I have not heard of any other lenders doing it....

But still I doubt its anything sinister. Principality are an excellent bs in my eyes with exemplary customer service

MarkyMarkD

Yes, I presume they've done this and I was using "excuse" in a very loose way! I meant that sometimes people trying to sell something like to use an "excuse" for contact.

MortgageMamma

I love loose excuses...

or is that excuses for being loose?

Can't remember....had to much wine

Goodnight mark. nice to catch up with u not seen you about for ages

MM xxx

Jonbvn

Noz wrote: »

The mortgage may have started pre-mortgage regulation

The OP said he only had the mortgage for 5 years???