my mortgage company moving my mortgage to another company

lindy526

Jolen3 said:

I received the same letter from Kensington saying my mortgage was being transferred to Pepper U.K, from 12 March - tomorrow, I was also classed as a ‘Mortgage Prisoner’ having been with them over 14 years and as such 3 months ago I was put on a reduced interest rate in line with what would be offered to newer customers after signing updated T & C etc in line with what would be offered to new customers, all well and good, however today 11 March I received a letter from Kensington to advise that my interest rate was now going up by nearly 1% - I know interest rates have gone up but not by this much, so I went from 5.2% to just over 4% now back to 5% within 4 months obviously I would move mortgage if I could but it’s not an option at present, no arrears no late payments etc, It would be interesting to know what Kensington rates for new customers, however as they have sold me perhaps it wouldn’t matter now as they have set the rate for Pepper to charge..

This is exactly what has happened to me. I got one month at the reduced rate and now has gone back up with this new company to what it was. Best of it is it took nearly 3 months to sort out the reduced rate as they said signature didn't match the original one on my mortgage . It has been over 15 years since l had signed the original mortgage. I would have thought this was very questionable practice to change companies and increase payments after supposedly helping reducing it a couple of months beforehand. I think l will get in touch with the financial ombudsman.

Thrugelmir

lindy526 said:

Jolen3 said:

I received the same letter from Kensington saying my mortgage was being transferred to Pepper U.K, from 12 March - tomorrow, I was also classed as a ‘Mortgage Prisoner’ having been with them over 14 years and as such 3 months ago I was put on a reduced interest rate in line with what would be offered to newer customers after signing updated T & C etc in line with what would be offered to new customers, all well and good, however today 11 March I received a letter from Kensington to advise that my interest rate was now going up by nearly 1% - I know interest rates have gone up but not by this much, so I went from 5.2% to just over 4% now back to 5% within 4 months obviously I would move mortgage if I could but it’s not an option at present, no arrears no late payments etc, It would be interesting to know what Kensington rates for new customers, however as they have sold me perhaps it wouldn’t matter now as they have set the rate for Pepper to charge..

This is exactly what has happened to me. I got one month at the reduced rate and now has gone back up with this new company to what it was. Best of it is it took nearly 3 months to sort out the reduced rate as they said signature didn't match the original one on my mortgage . It has been over 15 years since l had signed the original mortgage. I would have thought this was very questionable practice to change companies and increase payments after supposedly helping reducing it a couple of months beforehand. I think l will get in touch with the financial ombudsman.

BOE base rate has risen 0.65% since December 2021. Mortgages correspondingly are becoming more expensive to fund. The FO isn't going to rule on a commercial decision by a regulated lender. 

kymoja4

This happened to me too. I had no correspondence at all though. I then had a letter off Kensington  saying my outstanding balance had been paid off!! Because my ex resides at the property on the condition he pays the mortgage I assumed he’d paid it off. I rang the land registry and right enough, had an email confirming we were the sole owners of the property. 

Left it at that until we had a high court hearing this morning scheduled for Feb 2024 for them to impose a charge for the outstanding amount. The mortgage has always been paid on time and no arrears etc.