Missed Mortage Payments
Comments
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Any payment plan affects your credit history so Santander have obviously calculated there is a risk with you and upped your risk rating and consequently the interest rate they will lend to you. This applies to any borrowing but in most cases people's records are already trashed by the time they get to missing mortgage payments. Did you sign anything when you arranged the payment plan?
Have you got a mortgage deal expiring? What is the variable rate you will go on to if you don't take up the 3.75%?
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They haven't put you on another rate, the Santander Variable rate at present is 3.75%, which is where it sounds like you are sat.
Dependant on your LTV there may be cheaper alternatives, but this is a job for a good mortgage broker that will understand your specialist lender options, as most high-street lenders won't consider you due to the recent arrears.I am a Mortgage Broker.
You should note that this site doesn't check my status as a Mortgage Broker, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice0 -
They quoted me 4.45% for standard variable! 3.75% was the rate they quoted for 2 years fixed and 3.99% for 5 years fixed.
When I called to discuss the 'payment holiday' I was told this might affect my credit history. I was NOT told it would increase future mortgage rates and my Mortgage Broker has just confirmed this is a poor practice and Santander are particularly bad at this!0 -
r_n_carpenter wrote: »When I called to discuss the 'payment holiday' I was told this might affect my credit history. I was NOT told it would increase future mortgage rates and my Mortgage Broker has just confirmed this is a poor practice and Santander are particularly bad at this!
They told you is would affect your credit history? What did you expect this would do? Give you better rates?
Know a potato when you see one.
Maybe your broker means Santander are very unforgiving? Some are.
Get an adverse credit specialist broker if you do not already. They are the best to advise you.0
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