NRAM to Heliodor mortgage change

stefhixx

Hi 
We had an interest only mortgage with NRAM, we have now found out recently that our mortgage has gone over to Heliodor, can they change our mortgage from ‘interest only’? What should happen to our payments? We have received a letter saying about an ‘SVR’ mortgage from Heliodor but are unsure what we can do about any of it. Any help would be greatly appreciated.

Thrugelmir

Heliodor is not a mortgage lender. As such they do not offer new products. Have a read of their website.

https://www.heliodormortgages.co.uk/

stefhixx

It appears on their website that the SVR option which we have been put on, has no relevance to the interest rate. Am I reading this right? 

‘If the SVR applies to your mortgage, your interest rate is not directly linked to any external rates as it is set by Topaz Finance Limited trading as Heliodor Mortgages. You will be notified in writing of any changes to the SVR’ 

Thrugelmir

Standard Variable Rates are set internally. Will be based on cost of funding etc. 

stefhixx

Is there anything we can do about this? We have not agreed to any changes? Surely we should have needed to agree. 

davidmcn

Sorry, not clear from what you say in what way this is different from what you signed up to? A new lender can't make any material changes to the deal you're on, if you were on a variable rate then it can of course still be varied by the new lender.

Thrugelmir

stefhixx said:

Is there anything we can do about this? We have not agreed to any changes? Surely we should have needed to agree. 

In your original mortgage contract. You would have signed agreement to a clause allowing the debt to be sold on to another provider. That's a standard contractual term. 
Longer term you need to address the challenge of moving to another mortgage company. Being on interest only greatly reduces your options. As how you intend to repay the mortgage debt is a key question.