Northern Rock End of Mortgaged Deal (Merged Threads)

kingstreet

crystalsinger wrote: »

I have been paying the mortgage payments on a hugely reduced income for most of those 9 years. I mentioned it because I wondered if showing your ability to pay counted for anything?

It's probably better to think of it as being up to date with the payments doesn't count against you, like being in arrears would.

What I was trying to convey was they aren't going to give you a new mortgage just because you managed to pay the last one, however difficult that might have been for you.

Thrugelmir

crystalsinger wrote: »

I have been paying the mortgage payments on a hugely reduced income for most of those 9 years. I mentioned it because I wondered if showing your ability to pay counted for anything?

How do you plan on repaying the capital balance? Every month the amount you'd need to pay to clear the mortgage by the end of the term increases.

crystalsinger

Thrugelmir wrote: »

How do you plan on repaying the capital balance? Every month the amount you'd need to pay to clear the mortgage by the end of the term increases.

Its been going down a little because I pay slightly more. That and downsizing when the kids are gone hopefully...oh and the substantial lottery win, if I ever get around to buying a ticket

mavric501

Like many i am in a situation where we came off a 5 year fixed deal with northern Rock in January and went onto their SVR, but with a 100% mortgage, and house prices very close to what we paid for ours i am in a difficult position. Do i sell now and walk away with nothing (as we were interest only we were in effect renting anyway), rent for a while and save some cash for a deposit, or wait and hope the house prices go up before the interest rates, pushing my payments beyond what we can afford. NRAM cannot offer a new deal, and no lender is offering 100%+ mortgages to my knowledge. Any advice gratefully received.:mad:

semanticist

mavric501 wrote: »

Like many i am in a situation where we came off a 5 year fixed deal with northern Rock in January and went onto their SVR, but with a 100% mortgage, and house prices very close to what we paid for ours i am in a difficult position. Do i sell now and walk away with nothing (as we were interest only we were in effect renting anyway), rent for a while and save some cash for a deposit, or wait and hope the house prices go up before the interest rates, pushing my payments beyond what we can afford. NRAM cannot offer a new deal, and no lender is offering 100%+ mortgages to my knowledge. Any advice gratefully received.:mad:

Your best bet is to try to pay extra each month and pay down the capital. The odds are your payment dropped substantially when you went onto SVR, so it would be a good idea to keep paying the same amount each month, so the extra pays down the capital.

As far as selling/renting, really depends on your personal situation, if you have family, where you live, if you like your house and neighbours!

z1985m

I'm with NRAM now and i seen someone say they don't charge you if you move your mortgage to someone else. our deal runs out in decmeber. will this still be the case then?

semanticist

z1985m wrote: »

I'm with NRAM now and i seen someone say they don't charge you if you move your mortgage to someone else. our deal runs out in decmeber. will this still be the case then?

The 'charge' for moving is an early redemption fee - a penalty for paying off your mortgage within the fixed rate period. If your fixed rate period - your 'deal' - is over, then there's no charge anyway.

If you wanted to move your mortgage now, then you technically should pay a fee, but there's been lots of reports here of NRAM waiving it.

niccatw

As people keep asking about early repayment... here's what NRAM's website says for existing mortgage customers:

"Early Repayment Charge

This is the charge which is payable if you repay your mortgage within the stated tie in period. The details of this would have been provided in your Offer of Loan documentation. The end date of your Early Repayment Charge will be detailed in your Offer of Loan as well as shown on your mortgage statement.
Eligibility for our Early Repayment Charge Waiver offer

We are pleased to announce that our Early Repayment Charge waiver has been launched for customers who have eligible mortgages. This offer may not apply to customers with Lifetime Mortgages*. An Early Repayment Charge could be a substantial additional cost that you would normally need to pay if you were to pay off some or all of your mortgage during the period that an Early Repayment Charge applies.
You are of course under no obligation to move your mortgage elsewhere and if you stay with NRAM your mortgage will continue on its existing terms and conditions.
How long will the waiver be available for?

The Early Repayment Charge waiver will be available until further notice. Although we anticipate continuing this offer indefinitely, we reserve the right to withdraw this offer in the future.
If we choose to withdraw the waiver, we will give you 3 months written notice of the end date, giving you the opportunity to complete any remortgage or sale.
The waiver will only apply to any capital repayment you make, or if you redeem your mortgage in full within the offer period.
To help you with any questions you may have about the Early Repayment Charge waiver, we have provided answers to some of the most commonly asked questions below.
Early Repayment Charge (ERC) Waiver Q&As"

From NRAM website

Thrugelmir

z1985m wrote: »

I'm with NRAM now and i seen someone say they don't charge you if you move your mortgage to someone else. our deal runs out in decmeber. will this still be the case then?

Yes, its unlikely that charges will be reintroduced. . The aim of the nationalised operation that operates the securitised mortgage books of B&B and NR is to run them off. So in effect they want people to leave and move their mortgages elsewhere.

The high SVR is both an incentive to leave and a reflection of the poor quality lending within the mortgage books.

Debs0778

Does anyone know how much they raise the interest rate on an unsecured loan (as part of a together mortgage) if you move the mortage only eleswhere and leave the loan with them?

My 5 year fixed rate ends in May - rate is 6.2% or thereabouts

Thanks