Northern Rock End of Mortgaged Deal (Merged Threads)

discostu1978

Deleriad wrote: »

Also, I believe but am not exactly sure, that you can specify that you wish to overpay the secured element rather than unsecured. It is probably a moot point but best to do on principle.

when you phone up to make an overpayment, you can specify which part of the loan it goes against...

GooWorld

Hello!

I have a fixed rate coming to an end aug 08, my mortgage is going up to 1285 a month so I asked to be put on interest only which is 10pounds more a month than I am paying now!

They sent me the forms to change from repayment and said it was intially for 3 months then I rang again to ask for it to be extended they said ok write a letter so they could put this on file! Now they are saying they cant offer me this and speak with a mortgage advisor!!!

I have already spoke to a broker who couldnt find me a mortgage cheap enough!! so have to stay with NR for the meantime!!

Have NR not got a duty of care to help me ? cant afford the 230pound price hike....do i give up and tell them to shove the house or fight?

ger_ryan22

GooWorld wrote: »

Hello!

I have a fixed rate coming to an end aug 08, my mortgage is going up to 1285 a month so I asked to be put on interest only which is 10pounds more a month than I am paying now!

They sent me the forms to change from repayment and said it was intially for 3 months then I rang again to ask for it to be extended they said ok write a letter so they could put this on file! Now they are saying they cant offer me this and speak with a mortgage advisor!!!

I have already spoke to a broker who couldnt find me a mortgage cheap enough!! so have to stay with NR for the meantime!!

Have NR not got a duty of care to help me ? cant afford the 230pound price hike....do i give up and tell them to shove the house or fight?

What was your fixed rate and what is the balance of your mortgage and house worth?

MarkyMarkD

No, they don't have a "duty of care" to help you. You have a legal duty to pay the mortgage.

You can ask them to "shove" the house, but you'll owe them any shortfall between what they sell it for, and what you owe them. Plus the interest accrued whilst they sell it, plus any selling expenses, plus ...

workingatit

Hi all,

Coming to the end of our fixed rate in dec, I know its far off but just want to have an idea of where we will stand.

Our situation,

We have a 7yr fixed rate 5.19% mortgage with NR due to expire Dec, house is worth 120000-130000 our mortgage is for 42000, we are however on a DMP with cccs have been for 3.5 years now, due to me being paid off and the only job I could get at my age was more than half my orgininal wages, we went from 26000 down to 11000 my wife tried to carry on paying everything but with the interest etc it just kept building up and eventually she told me about it and we started the DMP,we have never missed a payment with either cccs or NR, but obviously most creditors are being paid reduced payments, some are being paid over the minimum payment, mortgage has never had arrears, also not got any ccj's either but do have 4 defaults due to DMP.

Are we likely to be able to get another fixed rate with anyone at all, or will we just have to stick with NR on the SVR?

The other question I have is that we badly need new windows, one of our windows has newspaper stuck in it to hold it, and I know its extra borrowing which isn't allowed but would we be able to up our mortgage by 3000 to include new windows being installed? my wife is disabled with arthritis and I don't think she would survive another winter with these windows, it is getting to that stage.

Any advice appreiated.

deefadog

I can't help on the mortgage front, but can you not get a grant or contributions from the government for the windows? I know you can get free insulation etc so maybe try your local council or the citizens advice?

workingatit

The government does help in England with windows, we stay in Scotland and don't qualify for it, Scotland has its own laws, which don't help out to much I am looking into that at the moment, everything seems to come up as the English law and not the Scottish, thanks anyway.

deefadog

Aha, I see. Good luck anyway.

Rommo_3

discostu1978 wrote: »

when you phone up to make an overpayment, you can specify which part of the loan it goes against...

Hi
First time poster here. Been reading for a while but this thread interests me as I'm in a similar situation.
Myself and two friends own an apartment and have a NR Together mortgage. We moved onto NR's SVR in January, from a fixed-rate of 5.99%. I have recently instructed NR that we want to make £300 of overpayment per month, on the unsecured loan.
My question is would I be better off making the overpayments on the mortgage or the unsecured loan?
The unsecured loan is repayment and the mortgage is interest only. Current combined payment per month is £1044.
I know we have no chance of remortgaging in the near future and staying with NR is the only real option.
Any information would be much appreciated.
Thanks in advance.

luckyfool

Unless you are planning to make yourself bankrupt in the foreseeable future I cannot see many benefits to prioritising the secured borrowing over the unsecured. I would probably do as you are and direct the funds towards the unsecured loan.

The only thing I can think of is that if you reduce the secured borrowing then you might be in a position sooner to remortgage that to another lender once your loan has reduced/house price has increased enough. You can leave the unsecured loan with Northern Rock and remortgage the main secured part away. Of course the downside to doing that would be the unsecured loan would change to a rate of between 5 and 8% roughly over the SVR (depending on when you took the Together deal out).