Mortgage Advisor seems to be withholding information

AliceBanned

homer_j wrote: »

It sounds a bit dodgy that the adviser has not provided any illustrations and this to me as if they are hiding something. Is this person a one man band or is it a larger company with multiple brokers?

I am going to try and avoid looking at blame on any part as the other brokers have said about all that can be said on what should happen on either side.

What I would do here personally is simply, call them and tell them asking that they issue you with the Initial Disclosure Document, Copy of Key Features Illustration and also a copy of the Fact Find and Application form that you have signed. I would agree a timescale in which this will be sent and state that if this is not adhered to then you will have no option to cancel all applications with them. I would stress that this is the Xth time you have requested this.

I would give 72hrs from this agreed action date to receive in the post.

I would then back this up in writing by stating the following facts:

- The number of times you have requested this information
- The fact that you have yet to still receive an IDD and KFI yet find that a survey has been instructed without your knowledge
- That you seem to have had some information about additional insurances, which you have not had explained nor agreed to at this stage.
- You want them to contact the Abbey to place a hold on any survey until you are completely happy with what the adviser has done.
- That you wish for a copy of this letter to be passed to their compliance department.
- If you have not received the information within the agreed timescales of 72hrs then you will have no option but to assume that the adviser has failed to meet their obligations under the rules in which he/she is governed and would like for all applications to be cancelled and an official complaint registered.

I would send this letter "signed for" with royal mail.

I would then wait and see if the information turns up. If it does then review and if it doesnt, send a further letter stating that you have not had the information and therefore wish to terminate the relationship with this adviser and/or their company.

The reason why I would do this is because the adviser may have their paperwork organised at their side to demonstrate that they have followed your requests and that you have no proof on your side as such other than your word.

Whilst your word may be good for most, I can guarantee you that "lost in post/did not receive" argument will not result in anything but the advisers compliance team stating that the adviser can demonstrate the info was produced and you are just now trying to get yourself out of what you are doing (this is based on the assumption that the IDD contains some nasty conditions about fees).

My way, will give you proof that you didn't receive as you have requested and you have an argument. You also ensure that if they issue a demand for payment, you have some back up for your defence.

Of course, if it is just a case that the advisor is just poorly organised and bad at communicating and there is no hidden nasties then you will not have lost anything.

Hi HomerThank you for this comprehensive answer - I had no intention to make a complaint against the mortgage advisor but perhaps you are right that in case something (ie a huge fee) crops up I had better do this to protect myself.It is a smallish local company which specialises in mortgages for professional athletes (which I am not even trying to be); I got through to them as they are on the IFA website but that was the last I heard of IFA; perhaps this is perfectly normal. To be honest I have done any research I could but it is mindboggling and it is difficult to get full information, and at the same time I know that brokers have specialised knowledge and contacts and in a sense one has to trust them to find the best deal, whilst being fully informed in writing of course. Which is the problem here. I am getting a bit worried; initially the mortgage advisor told me there would be a flat fee of £250 payable to her on completion; no other fees. As I don't have the IDD but have signed it (duh I know) I am worried that even if I don't go ahead with them, something may be charged to me. Is this possible? In a sense I have been too trusting/stupid to have let her fill in the forms sitting opposite me, and just signed them having read them upside down. But this is one of the techniques of heavy selling. I doubt there is anything suspect but what if there is?!So I have gone on to Charcol who have found me a better deal but are clearly doing a sales pitch, but i have to go with that; will detail this answer to Claire's posting below. Basically the guy from Charcol is slating Abbey (my first offer) and insinuating that they won't get the paperwork through for ages/are disorganised/horrible (this has all shown to be true in my experience with them anyway, but it is obviously part of the pitch to get me to accept this other mortgage offer).Aaagh. I'm enjoying it really. ;-)

AliceBanned

clairewych wrote: »

just as a quick comparison i'm purchasing a flat for £70,000 and will be paying £466 at 6.25% (fixed 2 years then goes upto something else,we'll be reassessing after the fixed period) a month over 25 years! so to me that figure seems ridiculously high, especially when L&C quoted me £30 for both me and my partner to be fully protected for mortgage payment and life assurance. which would still only make £496 over a shorter period of time at a higher %!

Hi ClaireThanks for writing. I have a second offer already from a different broker, from Norwich and Peterborough; higher interest for two years fixed at 6.74% then variable. This is over 25 years and repayments are 497.86 per month for the first two years. This is £200 more than I currently pay in rent whcih I can afford, but won't exactly be rolling in it. My feeling is it is a far better offer, despite the 5.9% for first two years from Abbey, as I can probably get closer to that rate in two years' time anyway. Abbey threw in a few offers eg to pay their own solicitor's fees which N&P won't, and a slightly higher loan to cover costs of buying.What I am wondering if any kind person with skills at figures reads this is that if the early repayment up to 10% with Abbey incurs no charges, would the overall cost of the mortgage if I overpaid by 10% all the time, still be more over 34 years than the mortgage over 25 years without overpayment, assuming I had the same interest rate for each? Sorry to be so appalling at figures not to even work that out but don't know where to start - sorry! I do think the N&P over the 25 years should work out cheaper than abbey if I overpaid?Thanks everyone it's been a great help posting this and getting so much advice.

Dan_Collins_2

A £60k mortgage will earn the broker less than £250. I think she is making a common mistake of not taking the small mortgage seriously and is not thinking about the recommendations she may be missing!

Shared ownership can be a pain the bottom so a good broker can really help. If you are not happy then dont use her, or contact her and tell her your conserns.

Good luck