You do not have the right to transfer this loan to another lender.

Lovinash

"You do not have the right to transfer this loan to another lender."

Is this a common condition in mortgage contracts?

davidmcn

Where have you seen it? I'm not sure how you could "transfer" the loan anyway? Remortgaging means you repay it by taking out a different loan with a different lender.

kingstreet

It usually appears when you are saying you will repay credit and the mortgage lender is telling you you can't do that by borrowing from somewhere else to do so.

Is that the context, as you haven't given us much?

djphig

Speaking for 2nd charges, yes that's very common wording in mortgage contracts. It's nothing to be concerned about

Lovinash

Thank you. This is on my mortgage offer. I read it as 'not allowed to remortgage at anytime' but would this be legal?

Full text:
"You have the possibility to transfer the outstanding balance of this loan to another property, subject to the new property and your circumstances meeting our lending criteria at that time. A Mortgage Exit fee will be payable and an early repayment charge may be payable in respect of the mortgage that is being redeemed. Other fees may be charged when porting the mortgage interest rate and the terms and conditions for the new mortgage agreement will also apply.

You do not have the right to transfer this loan to another lender."

Lovinash

This is on my mortgage offer. I read it as 'not allowed to remortgage at anytime' but would this be legal?

Full text:
"You have the possibility to transfer the outstanding balance of this loan to another property, subject to the new property and your circumstances meeting our lending criteria at that time. A Mortgage Exit fee will be payable and an early repayment charge may be payable in respect of the mortgage that is being redeemed. Other fees may be charged when porting the mortgage interest rate and the terms and conditions for the new mortgage agreement will also apply.

You do not have the right to transfer this loan to another lender."

DCFC79

Lovinash wrote: »

This is on my mortgage offer. I read it as 'not allowed to remortgage at anytime' but would this be legal?

Full text:
"You have the possibility to transfer the outstanding balance of this loan to another property, subject to the new property and your circumstances meeting our lending criteria at that time. A Mortgage Exit fee will be payable and an early repayment charge may be payable in respect of the mortgage that is being redeemed. Other fees may be charged when porting the mortgage interest rate and the terms and conditions for the new mortgage agreement will also apply.

You do not have the right to transfer this loan to another lender."

You could delete 1 of these as no need for 2.

[Deleted User]

You have the option of remortgaging to another lender.
You do not have that absolute right to do so

Some lenders say the same with porting now. The option is there but it's not a right

getmore4less

I read that as saying you cannot move the loan to another lender you can redeem it which is what you would have to do if you wanted to use a new lender.

kingstreet

Totally redundant, IMHO.

You cannot be prevented from remortgaging, which effectively is the transfer of the loan to another lender.

getmore4less

There will almost certainly be a clause that says the lender can transfer the loan to another lender.

IT is probably there to make it clear the the borrower can't do it and has to redeem first.