Missold interest only mortgage
Comments
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but was rather naive when we took out mortgage.
So, when you read the risk warnings on the mortgage offer, what did you think?
When your conveyancing solicitor went through the risk warnings with you, what did you think?
What did you do with all the extra spending money you had between 2003 and 2012?When I remortgaged in 2012 as a repayment I had to take a 21 year mortgage to make my monthly repayments the same (Hope that makes sense) so effectively adding another 5 years on.I was told about claiming by a colleague but after reading some of the comments realise this may not be appropriate.
Mortgages were not regulated until October 2004. 2003 pre-dates regulation. That is why your colleague is wrong.
Also, the other reasons mentioned are why you see so few successful complaints about interest only.0 -
I seem to have come across as either greedy or thick in my original post going by some of the comments 🙄 honestly I'm neither but was rather naive when we took out mortgage. When I remortgaged in 2012 as a repayment I had to take a 21 year mortgage to make my monthly repayments the same (Hope that makes sense) so effectively adding another 5 years on. I was told about claiming by a colleague but after reading some of the comments realise this may not be appropriate. Thank you for your comments, some were really helpful, some unnecessarily harsh.
Why another five years ? What about the extra money you had for nine years as a result of IO plus endowment costing less than repayment ? (Which is why you took it out, right, it was cheaper?)
What did you do with that .. that would have made a substantial difference had you used it to reduce the size of your mortgage as you went along, or had you saved it you could have used that money to reduce the size if the mortgage you needed to keep the term the same.0 -
Now the ppi bandwagon has ended all these claims management companies have staff, phones and computers sitting around doing nothing. I've already seen one tv advert encouraging the gullible that they maybe owed £1000's and to call now.
Expect to see a lot of these threads popping up now. I do agree that interest only is up there with drinking water for product description in the name.0 -
Just in response to some of the comments.
I live in Scotland, so don't know if this means things are done a bit differently with respect to house buying when we bought house we met with solicitor twice, once 2 sign forms once 2 pick up keys. Discussions were between solicitor & financial advisor.
We paid £51k in 2003, we only remortgaged in 2012 because we had a communal repair bill of £30k (We're in block of flats 1/6th split) in 2012 flat valued at £58k on remortgage, the 5 years extra mortgage was to keep monthly outgoings the same.
What I was originally getting at was as it was interest only should i have been offered some sort of endowment/insurance
We have certainly never had loads of money left over at any time, realise there was the 5k at remortgage but went on communal bill ( yes I know it was still profit) but 5k profit v 5 year added on....I know which I would have preferred.
And just to end I'm not bring greedy here, I've worked hard to get where I am , really struggled to clear £££ in debt due to personal circs. But I'm nearly there MSE threads helped a lot. But It would be nice to think i only had 8 yrs mortgage left and not 13, seem to have been buying this place forever0 -
You must have spoken with someone to get the mortgage in the first place?
Can you not make overpayments to reduce your mortgage and get you back on track for clearing it in 8 years rather than the full 13 year term?Mortgage started 2020, aiming to clear it in 2026.0 -
Have a play with this to see what the difference is between normal monthly payments and doing an overpayment, even £50 a month can trim years off.
https://www.halifax.co.uk/mortgages/mortgage-calculator/overpayment-calculator/Mortgage started 2020, aiming to clear it in 2026.0 -
It was a financial advisor that did everything for us. And your right I'm hoping in next couple of years I can overpay, otherwise I'll be 65 before it's cleared ��0
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I live in Scotland, so don't know if this means things are done a bit differently with respect to house buying when we bought house we met with solicitor twice, once 2 sign forms once 2 pick up keys. Discussions were between solicitor & financial advisor.
The solicitor would have pointed out the key risks mentioned on the offer letter with you.What I was originally getting at was as it was interest only should i have been offered some sort of endowment/insurance
There was only one mainstream provider of endowments left in 2003 and they pulled out in 2004.
Mortgage advisers are not allowed to put in place investment products. So, if you used a mortgage adviser/broker then they couldnt do that. Only if you used a financial adviser you could.We have certainly never had loads of money left over at any time, realise there was the 5k at remortgage but went on communal bill ( yes I know it was still profit) but 5k profit v 5 year added on....I know which I would have preferred.
You would have had even less had you been on repayment basis.And just to end I'm not bring greedy here, I've worked hard to get where I am , really struggled to clear £££ in debt due to personal circs.
Would it be fair to say that had your mortgage been several hundreds of pounds a month more, that your debt situation would have been worse?0 -
Re. the 65/retiring thing. I'm 67 now and have a better income via pensions than I ever had whilst working...so my mortgage would be more easily affordable now.0
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It was a financial advisor that did everything for us. And your right I'm hoping in next couple of years I can overpay, otherwise I'll be 65 before it's cleared ��
I didn't become mortgage free until I was 68!If you are querying your Council Tax band would you please state whether you are in England, Scotland or Wales0
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