Northern Rock End of Mortgaged Deal (Merged Threads)

deefadog

As an NRAM customer - I have just found out i may be made redundent. Even though NRAM don't offer new deals, has there been any information if they would switch to interst only for redundent customers?

Thrugelmir

Suggest you speak to them and explain the situation.

deefadog

Thanks, Yes i will do that, just wanted to know what i would be up against, not been in this situation before!

Thrugelmir

deefadog wrote: »

Thanks, Yes i will do that, just wanted to know what i would be up against, not been in this situation before!

Lenders will treat each case on its own merits. Best to be open and frank.
Not just with NRAM but yourselves.

Hope that you find new employment soon.

John_Pierpoint

http://www.telegraph.co.uk/finance/personalfinance/8731579/Cut-back-on-Sky-and-drinking-borrowers-told.html


"Customers have to a large extent been protected by low interest rates. Economists expect rates to rise at some point late next year as the UK’s growth start to accelerate."

[Translation - International investors will soon get fed up subsidising the people of the UK by getting a return of less than 2.5%, when the money it's self is being devalued 5% a year.]

Richard Banks, chief executive of UK Asset Resolution, said: ‘Some people won’t cope when interest rates rise, but for others there are remedies. They need to think about what is their most important debt.

[Translation - Get a grip on your priorities, winter is coming and the roof over your head should be you number one priority]

http://www.dailymail.co.uk/news/article-2031934/Now-banks-ring-cash-strapped-home-owners-warn-Cut-spending--risk-losing-home.html#ixzz1WaJmY76U

bhindi

My mortgage is now with Nram, I chose not to take out any mortgage protection, as it appears to me that companies will do their utmost to find reasons to not pay out, and when they do if its over a redundancy then its only 12 months. So I have been paying the equivelent value to mortgage protection into my mortgage, to create my own buffer fund, I have also been fortunate enough to make a generous overpayment each month.

When I was recovering from serious surgery for 3 months, i took payments holidays, and since then for economic reasons I have taken a few more. On none of these occasions have Nram been difficult regarding getting my money back. Its always just a few minutes phone call, and then a few days later the money is in my account.

I have Never considered that I have been shafted by them, in fact I would go so far as to say if Northern Rock were still selling mortgages that I would recommend them.

People need to start taking responsibility of the decisions they make.

I once had a mortgage that I fixed, and then the rates plumeted, and I was paying over the odds..... but at least it was a figure that I could afford.

Before that property, I was not fixed, and the mortage rates doubled on me, and we struggled to pay (but did).. every luxury went out the window.

So with those 2 extremes, this time round I fixed at 4.99% realising that the couldnt fall that much lower I took out a 15 yr term.

Thanks to savy juggling of my money, i am now 1 third into the mortgage, but payed of half of it.

I do not drink, smoke, only have a most basic mobile, and avoid taking up the current must have gadgets.

It is important to live to your means as long as you have a debt over your head.

Thrugelmir

bhindi wrote: »

So I have been paying the equivelent value to mortgage protection into my mortgage, to create my own buffer fund,

Precisely why they have assisted you when you've needed help. As your sound management of personal finances has been identified.

spidermev

bhindi wrote: »

I once had a mortgage that I fixed, and then the rates plumeted, and I was paying over the odds.....

Haha, I know that feeling, very frustrating at the time isn't it?
Like you say though, the reason for fixing is the security of knowing you can afford your payments. That's what kept me sane at the time anyway!

bhindi

Spidermev, sadly though I feel that was one of the culprits that brought down my divorce, theres no feel good factor when paying twice what everyone else is paying for the same type of property.

The first property where we hadn't fixed and the rates went sky high on us left us in a situation where when we sold we had to hand over £20k with the keys to get out. And bizarely that was only made possible because in that late stage, both our mothers deceased and each left us £10k.

Properties can be a rocky ride, we didn't have people around to help guide us and blundered our way through mortgage options. But you quickly learn to be savy after harsh experiences.

Fixing at 4.99 for 15 years was a pretty safe option for me, my inlaw now tries to goad me from time to time when the rates drop, into declaring that I wish I hadn't fixed, but they haven't in reality dropped that far below, so I am very content.

anyway thank you all for the thanks on my previous post.x

I-Heart-Me

hmmm...our 5 year fixed term is coming to an end this Dec and NRAM have not contacted us - should they have?

This is my first mortgage so I am unsure of what to do. The fixed rate is 5.99% and by reading this tread I guess we will automatically be put on the SVR of 4.79% - that means my repayments will reduce? How do I work out what they will be?

Cheers x