mortgage company sold to servicing company

connor08

can anybody give me some advice last month my mortgage company kensington mortgages sold my interest only mortgage to engage credit . 
just before the switch in november 21 we were advised to switch to a lower variable rate because we were identified as mortgage prisoners by kensington kensington along with a few other lenders had signed up to the voluntary scheme as advised my the fca. 
our intention was to move to repayment but kensington told us to wait 12 months . so we did . kensington assured us that everything will stay the same . last week i contact ed the new company engage credit and asked them if i could have a mortgag offer for  repayment . mortgage they stated that they are a serciving company and cannot offer products . that i have to stay on interest only for the term of my mortgage . however we dont want that . and believe that kensington has put us in a very damaging situation because if i dont switch i will end up loosing my home in 15 years when the term ends . however engage credit did say that if i over paid on my mortgage if i paid the 411.00 off my interest only and then paid another 400.00 over payment it would be like capital and repayment . but why should i when i could have had the oppertunity to go to another provider if ensington had only advised us prior to selling my account to engage credit . i nearly fell through the floor . 
in kensingtons newest mortgage offer we signed it states that one of the conditions that it states in the mortgage offer that we change to a repayment ) their excuse was when i asked them if they could sell my account they said yes it states that in my mortge terms and conditions but it does not . so i am  open for any advice that i can have . 
do i make a claim to kensington to say that by selling my account they have made my financial situation worse and at the time did not consider the future outcome on how it would effect me and my family . Can i make a claim to engage my new mortgage company to say that my mortgage has been miss sold as we never agreed to the transfer of the mortgage to the servicing company . its not that easy for me to switch to a normal high street lender as i am registered dissabled and will never work again and my husband is my full time carer and as we are on benefits its going to be much harder as we dont work . kensington has really screwed me over and other people like myself . so if anybody has some advice no matter how harsh it is please give it thank you 

Thrugelmir

Kensington under the contractural agreement you freely enterered into, have the right to sell on your mortgage onto another party. That's the bottom line. All legally above board. Your only option is to remortgage to a new lender. 

nyermen

Selling mortgage portfolios is quite common (balance out the various risks etc).  Wonder if its a full sale or a securitisation or something similar.

connor08

i understand that but in november they signed us over to a lowered mortgage rate because we were mortgage prisoners (under this rule you had to be with an active  mortgage lender ) because we cant move to somebody else we were put on this new offer but what did they do 
the total opposite of the reason they put us on the new offer in the first place ) there are some mcob rules regarding this however its lucky i did make a complaint about kensington to the financial ombudsman  so i have to await their outcome . the new mortgage provider cant even provide this  offer that we signed up to because they are not trading )  never mind i will start looking for another mortage provider somebody that can port my mortgage on just so that i can get off interest only . but not before i try my bank first because i want to come away from lenders like kensington and engage 

jimjames

There's no reason why you couldn't setup an ISA (S&S or cash) or similar savings to put the additional money into that would have gone to the higher repayment mortgage amount. How many years do you have left on mortgage?

connor08

15 yrs if we had know that we had to put a repayment vehicle in place at the time but we didnt know that also kensington didnt tell us either that we get charged a daily fee of 2.65 interest so it has acumulated to over 800.00 now but i can pay that off any time up until the end of my mortgage 99.800 is a lot to save up . when banks are offering cheeper mortgages for repayment for much lower than i am paying now 

connor08

if not if i happen to die in the next 15 years my mortgage will be paid off i have taken cover out to cover my mortgage if i die 

connor08

i know it is a purchase it was sold  but when you have a plan for the future you get it in writing from the company to switch in 12 months great your not going to lose your house at the end of the term . 
and over night your plans change . the unthinkable becomes a reality . now i need an action plan to move my mortgage somewhare else but whare 

connor08

i just dont understand that if they cant offer a lowered rate or change to a fixed rate how can they make rate changes when the bank of england base rate change does anybody have an idea how they can do that 

penners324

Why not over pay the mortgage as was suggested in the first post?

[Deleted User]

connor08 said:

i just dont understand that if they cant offer a lowered rate or change to a fixed rate how can they make rate changes when the bank of england base rate change does anybody have an idea how they can do that 

It'll be a variable rate.