Rosolite Mortgages

Stressed_mortgage_holder

I am one of the very unfortunate ones who is stuck on a Rosolite mortgage deal. Until the Bank of England latest base rate hikes I felt quite happy.

Since the increases my interest only payments have gone up by just over £1000 a month. We had one of the self cert mortgage products with Mortgage Express where it has been tracking the base rate by 1.95%. However when the latest increment to 4% was announced Rosolite decided to increase the margin to 2%! No explanation or nothing.

Even when the Bank Base Rate was 0.1% they did not alter the margin. I have not been aware of that they could change it as this was not never explained in the name of the product. They have dressed it as a Bank of England base rate tracker and tracked it at the same margin all along. Why can they all of a sudden change this now when we already have the highest rate since the product was launched and with all the other cost of living increases?

Can they decide to increase the margin again?  I have made a complaint but am not expecting a positive outcome.

Due to that I am separated and my estranged husband has also bought a property we are not in a position to re-mortgage. I would love to hear your views. Thank you.

ACG

It will come down to your terms. If it is a bank of england base rate tracker, no. If it tracks something else then potentially they can alter the margin. I think (I could be wrong as mortgage express was a bit before I became a broker) but did it not track libor? Lenders had to switch from tracking that to something else (I cant recall what, but presumably you would have had paperwork). 

Stressed_mortgage_holder

Over the years when the Bank of England has raised or lowered it's rates they have written to me and said 'Why has your rate changed? Following a change to the Bank of England base rate the interest on your loan will change'. Until last month, the margin has been 1.95 above the Bank of England Base rate. 

I hope to hear from other Rosolite mortgage holders on here. I can hardly be the only one this has happened to.