Northern Rock End of Mortgaged Deal (Merged Threads)

ALEXMAC_2 · 13 January 2010 at 3:21PM

Abbey have lowered their rates today, 2.59% tracker and a 2 years fixed at 3.69%. They give fee valuation and legals.

To get a quote check out findabroker.info

dmhuk2001 · 13 January 2010 at 8:28PM

Beware, with some agreements if you detach the unsecured loan from the mortgage the interest rate on the unsecured loan sky-rockets. NR shouldve told you this but in my experience they arent helpful at all. My next step is to find out if what theyve done is enforceable. When I was sold my mortgage it was on the understanding that I could sell and if within 6months I ported to a new home I could port my existing mortgage and extend with additional lending to the higher value of a new home, and get a refund on any early settlement fees I paid before porting. This now seems impossible as there is no new lending. This seems a breach of at least a verbal if not implied contract. The t&C's to me arent just what is on the agreement but that the bank will continue to operate in the way it did when the agreement was made. SO THIS IS A MAJOR CHANGE TO THEIR T&C's whichthey appear to be trying to hide/ignore. Best consult your solicitors. I believe there may be free leagl advice available through insurance on the mortgage so Ill try that first.:mad:

enay73 wrote: »

As I have spoken with them, the lady on the phone told me that as I do have a together mortgage I can actually get my secured part and transfer to another lender and keep the unsecured loan with them, so in some way I could still get a deal, but, the problem is that if I take the secured load to somewhere else I will not get a good deal and still get a similar interest rate which at the moment is 5.89%. I am doing my overpayments everymonth almost £ 200 extra and I will do my best as much I can until the end of my deal.
Also to be honest I have too many doubts but in some way if the Asset is still owned by the government, we shouldn't get perhaps a bad interests rate. The government should help us rather to put an high interest rate. It would be more sensible. Maybe it's a way to help people out and get on track as it is not anymore a bank as they cannot give us anymore deal. Also we are nearly to election period and they wont get negative impressions by the public.
Any ideas guys?

MarkyMarkD · 13 January 2010 at 11:07PM

Whether you have a mis-selling case, dmhuk2001, depends on the circumstances. There was never an implicit guarantee that - without any conditions - you could borrow more money when you ported your mortgage. That additional borrowing - and indeed the entire new loan - would always have been stated as being condition on lending policy at the time of the new loan.

If your credit situation is better now, than when you first took the mortgage out; and the additional borrowing is more than covered by a proportionate increase in your earnings; then you have slightly more of a case. But lenders are still free to tighten their lending criteria at any time - even to the extent of not lending at all - and that does not mean that they have breached their original portability guarantee.

If you are a decent risk, I don't understand why you would want to port an NR mortgage anyway, because you should be able to get one far cheaper. And that applies even if you are currently subject to an ERC - the ERC is likely less than the savings you will make by remortgaging away from them.

VIGILANT22 · 13 January 2010 at 11:48PM

dmhuk2001

The terms and conditions of the unsecured are stated clearly within the loan offer....which you found acceptable when you accepted the loan...You can challenge this all you want but they're quite within their rights...they don't have to lend more when porting...no lender does...As for this use of the word "enforceable" or unenforceable....too many people have been reading this spin about claiming back on loans & getting these written off....I would have thought by now people would have seen the light regarding this......

VIGILANT22 · 13 January 2010 at 11:54PM

dickovski wrote: »

I think we have been stitched up right royally on this. My position isn't so bad but I feel sorry for a lot of people on here.

I have a slightly different problem to ponder. My 5 year deal comes to an end Sept 2010. I have
50k on 4.89% repayment - 13 years left
60k on 4.89% interest only - 13 years left
16k on 3.94% secured loan - 7 years left

The good problem is I have come into a 40k lump sum which I want to put towards the mortgage. Do I pay off a load now and if so which part (I'm guessing the interest only). Or do I wait until my deal comes to an end and use it as leverage to get a better deal.

The bad part is I doubt I would get a new deal anywhere as although I have never defaulted my wage multiple wouldn't be anywhere near what most banks require even with the 40k taken off.

Any advice welcome.

When people received the mortgage offer to remortgage or purchase, did they say they had been stitched up!

As for your income multiples, surely you can't "blame" anyone for that!

NR has no ERC'S when it comes to applying a lump sum to the mortage ....this is the benefit of NR mortages........

MascaraMinx · 14 January 2010 at 6:43PM

Wow now i'm really depressed. So they may hike the interest rate up to get rid of us, but nowhere to go because nobody will offer a remortgage deal if you don't have a minimum 80% LTV? Fab.

fruityboots31 · 14 January 2010 at 9:13PM

I have been retained by Northern Rock Bank. How does this benefit me? (Not sure how this has happened!)

beanielou · 14 January 2010 at 9:39PM

Fruityboots~is yours a fairly new loan?

utopiah · 14 January 2010 at 9:49PM

I too have been retained with northern rock plc. My mortgage was taken out 2005 on a 15 year fixed at 5.49%. I have a 55% LTV, overpay regularly and never missed a payment.I also can borrow back any overpayments and overpay as much as i like without penalty. I have 10 years remaining on fixed deal. Maybe its the mortgages that have deals ending in the next 3/4 years that have been moved to NR AM. just a thought!!