Northern Rock End of Mortgaged Deal (Merged Threads)

picardygirl

MrsBartolozzi wrote: »

If 90% of their mortgages (ie those moved to Asset Man) are deals due to end soon, I imagine in the next 3 years or so there won't be many left.

Just my thoughts. We don't know what we are going to do now.

I understand what your saying, but how about the people with negative equity or really high LTV and/or bad credit rating, other lenders wont want to touch them.....

buuuug

Hi,

I fear that i will be in one of these problem situations.

I owe about 76%. Since ending a fixed low interest rate in 2008 i paniced at how the market was going after initially being refused a new mortgage elsewhere and so i renewed with NR and of course this meant a higher interest rate than that i was on originally however, lower than the then SVR that i reverted to. This increase meant i was no longer able to afford to pay my credit card people and since then I have been negotiating with them however, its an extremly slow process.

The mortage rate from 2008 expires in the next 2 months and i revert to the current SVR which means my current repayments will actually fall about £160 which will go someway to helping me regain some ground financially. Problem is, the SVR will not remain forever as the interest rate will go up.

I am now stuck in that NR appear to not allow remortgages unless you move house, i suspect if i were to move that they wouldnt renew a mortgage deal (although i need to make contact). I believe that almost no other lender would provide me a mortgage even though it will mean my payments will fall and provide money to resume paying credit cards (whom i only stopped paying because of the mortgage and high interest rates in early to mid 2008), i have never missed mort repayments however.

Surely people like me are more of a risk to NR by denying new mortgage deals as at some point they may have to reposses the homes, it would be more in their interest to allow us to remort on the good deals and then everyone is happy and safe.

Its real madness that i either have to sell (if i am able to take a rented accomodation with pets) or simply sit it out at the current property stuck on an SVR always at risk of rate rises, simply because they dont want the business anymore and my rating is likely to be right screwed after negotiating with CCs over the last 20months whilst not paying them and so i am no longer able to move my debt to a new lender that provides lower rates so everyone gets money.

Its really disappointing that we are being forced like this and i really dont know what to do.

Nat

Becles

I'm with the asset management company.

I've got approx 30% LTV, never missed a payment or made a late payment, squeaky clean credit record as I've always paid everything else on time, small overpayment of around £300 on mortgage.

Bit disappointed considering I've been a good borrower, and I'm not at risk of negative equity or anything like that. Guess I've just got to sweat it out for the next 17 years and hope the SVR doesn't rise too much.

I'd love to know the criteria of getting into the "good bank." The lady on the phone didn't know and she's in the same boat - low LTV, good borrower, NR employee but she is with the asset management co.

deefadog

You must be gutted Becles! You have a lower LTV than me, so i must be in the bad bank also. I have until next September until my fixed rate ends, so i guess just wait it out.

You have a very good LTV so you can switch if your not on a fixed with no problem!

Becles

deefadog wrote: »

You have a very good LTV so you can switch if your not on a fixed with no problem!

I've tried but nobody will have me!

I was a single parent working full time when I took the mortgage on, so affordability was no problem.

I've since married and had another child, and I'm only working a few hours a week now. I'm self employed with no official accounts as I do them myself (good enough for tax man, but not good enough for lenders!) Husband is the main breadwinner, but I don't want to be financially linked to him as his credit record is awful and I doubt anyone would give him a mortgage anyway.

NR don't know any of the last paragraph as I've never had need to tell them, so that won't be the reason I'm with asset management co.

deefadog

I see, it must be frustrating. But over the next few years your husband could clean up his credit record in time to move to another lender? I know there is a thread on here somewhere on the best ways to do this! Good luck

b0rker

I'm not sure what everybody's rush is to get away from NR Asset Management PLC.

I got my letter today. I will be with NRAM. No surprises there.

NRAM is government owned. The government doesn't like to lose votes. I can 100% assure you that the way to lose my vote would be to increase the NRAM SVR above what it currently stands at. I am planning to vote Labour at the next election as the way they have handled this global crash has been fantastic in my eyes. If they screw me over on my mortage now after all this effort they have put in then I will be forced to vote take my vote elsewhere (anyone but Tory!). Every lost vote for Labour is a vote for the Cons.

Seriously guys. Do you think that Labour will have made so much effort not to lose votes over the past 2 years only to turn round now just before a general election and screw themselves over?

Think of the time between now and the next general election as breathing space and start saving as much as you can. I am not planning on overpaying either as discussed above. Save and pay it off in a lump sum if you need to. Not as MSE as I would like but the circumstances dictate.

Hey even if you don't manage to get away from NRAM ASAP after the next general election then I canot see a government owned organisation being allowed to bankrupt lots of its customers by forcing up the SVR. If anything they are likely to keep the SVR as low as possible and run the book down slowly over time. How bad would it be to bankrupt loads of future voters? I can imagine that particular party would lose lots of votes for life.

This is now less about finance and much more about politics.

beanielou

Span2 wrote: »

Rang yesterday, our mortgage is with 'bad' bank, really annoyed. Been with them a long time, low LTV (owe approx 72% of current value), never missed a payment or made a late payment, very good credit rating, never made late/missed payment on anything else ever!! I asked if our mortgage was part of their securitisation programme, they wouldnt tell me (read on internet that 38 billion pounds worth of securitised mortgages now in the bad bank). Feel let down.

Snap.
Suppose thats life though.

enay73

lets just hope we dont get any worse situation, hopefully with the SVR would be less than a normal bank as this ASSET is not a bank anymore
i was looking on the nr website and it says this if you look on the q & a

Will Northern Rock plc and Northern Rock (Asset Management) plc have the same Standard Variable Rate for mortgages?

The two companies will operate independently from one another and make their own commercial decisions. They may therefore have different Standard Variable Rates in the future.


I do really hope the government doesn't let to get a worse SVR in any case as it will affect the 90% of the people with the mortgage, it would be outrageous.

enay

deefadog

So if you ring them are they freely telling people what bank they are with?