i phoned NRAM today - never asked about a cheque refund but did query whether or not I would be able to have the amount taken off the mortgage part of the together product - rather than the unsecured loan. I was told this is not an option - I asked if the CCA specifically stated that when redress was required then this is the correct and only process to be followed - they said it was. Im thinking of raising a complaint and asking them to point out exactly where in the CCA this is stated - surely if it was then they would have mentioned it in the letter!

i am in the same situation - just got our letter today stating that we are owed just short of 3k and our account balance will be corrected - i'd also like to challenge this because.... 1. we could really do with the 3k just now! 2. no matter what we are pretty much stuck with this loan for the forseeable future anyway - so shorterning the term (which has 28 years to run) doesn't really help us at all. they are not being very specific as to which part of the CCA they are referring to regarding this redress - the letter is very vague and does not quote anything stating this is the correct and necessary process for redress - if there was a section of the CCA which stated this im pretty sure they would be quoting it in any correspondence I will also be starting a complaint with them - even if they took the amount off our mortgage it would be of greater benefit to me as we are thinking of selling our property soon.

slight update on this - found the following on Nationwide intermediary site - the 'self-financing' part is key to us - but would still appreciate any replies if anyone has further info/advice - thanks! Clients with Additional Properties Where your client will own more than one property on completion of their new loan with Nationwide the maximum LTV is 85%. Purchase applications for these clients should be keyed as a Second Property to ensure the correct LTV limit is applied. For information about products please see our products, loan size and maximum LTV criteria.If your client owns more than one property, we require all addresses and mortgage details. Let properties are treated as self-financing where the rent received is at least 125% of the current mortgage payments. Where let properties are mortgage free a percentage of the total monthly rent received will be treated as income. Rent must have been received for a minimum of one month at the point the application was submitted and we will require up to date bank statements to confirm this. A copy of the signed tenancy agreement is required.

Hi Folks, looking for a bit of advice on obtaining a 2nd residential mortgage - the background is myself and my partner currently own a 1 bedroom flat - we have a baby on the way so will be needing somewhere bigger - please dont ask why but it is going to be easier for us to hold on to the flat for a couple of years before selling it! our plan is to ask NRAM if we can have CTL on the flat for the next 12/24 months and buy another house - I have read on numerous forums that NRAM are usually ok with this and charge a nominal fee (£100 per year or £250 for long term) which is better than changing to a BTL mortgage from what I can gather from bank intermediary website calculators as long as your current mortgage is self sufficient i.e. its covered by rental income - then the new mortgage provider on the 2nd residential property will not take the 1st mortgage into account as an outgoing expense when calculating how much they are willing to let you borrow. has anyone had any experience of this type of situation? Thanks :o)

sorry - forgot i had mentioned the form in my OP the other night - thanks

Hi All, I have asked my secured loan company if the shortfall from the sale of my flat (around 13k) can be made unsecured - they have said this is a possibility and sent us an income and expenditure form to complete. I am wary of how to fill this in - are they checking if we will be able to afford the unsecured loan after the sale (and therefore be less likely to default) or are they trying to check if we can still afford to stay in the flat and therefore block any sale. We can afford the payments either way no problem but need to move due to space (1 kid and another on the way - 1 bedroom flat - not good!!) Thanks! A

yeah we have a 1st and 2nd charge - from the sale of the flat we will still owe the 2nd charge around 13k. the sale of the flat will clear the mortgage and then some i would never want to go down the road of repo or damaging our credit - i have quite a lot of debt but always pay it - so im happy to pay what i owe but just want to get the flat sold and continue to pay off the 13k on an unsecured basis the sooner we are rid of the secured loan the better - its been on the go now for 5 years and we have already paid 12.5k in interest - i dont know what i was thinking when i applied for it!! im basically offering to pay them the same amount each month that i am just now until i can get a new unsecured loan to cover the shortfall - i just cant have them blocking any sale because of the 13k! thanks again for your replies

thanks for your reply - its a road we have looked to go down - with renting out the flat unfortunately the potential income from rent would not cover the mortgage (flat across from us is rented so we know the expected income) plus moving to buy to let would likely increase our interest rate so payments would be even more - although i do think they give permission to rent for 12/24 months without changing mortgage - then there is the associated fees with being a landlord, tax returns etc etc. i see what you are saying about the property ladder - and renting is really just money down the drain - but it short term until we can buy and we need the space - keeping the flat is extra hassle we could do without so i would sleep easier if it was sold plus it would help us get rid of this secured loan quicker - the interest we are paying on it is ridiculous!!

Hi - this is good to know that they were willing to make your loan unsecured as there was a shortfall - I am trying to do this just now so I can sell my flat (shortfall of approx 13k) I realise this post is a bit old now but if you read this can you let me know the process they took you through? Did you actually get it in writing that they would make your loan unsecured? Thanks in advance A

yes but i have seen examples of people being in financial difficulties and the first charge company forcing the sale to get their money back and the second charge being left to come to some king of arrangement with the customer - especially when there is negative equity involved im hoping they are more than open to the idea - especially after being told by them its a possibility the other thing i have just thought of is the expenditure form they have sent me - do u think this is to calculate whether i can still afford to live there (i.e. we wont let u sell) or whether i can afford the agreed payments after the sale should the loan go unsecured? ps the reason we are wanting to sell if we have a kid - and the flat is only 1 bedroom - so we dont have a choice - if i could afford a nice deposit on a house i would be doing it but it needs to be sell > rent > save > buy - for now anyway

hi thanks for the reply - to be honest we just want rid of the flat - rent a nice house while paying off our debts then save up a good deposit on another house! we are pretty much set on that but just need it signed off by the secured loan company - i've been trawling through different posts tonight with varying opinions on whether they would be agreeable one of the terms which comes up quite a bit is 'power of sale' from the 1st charge holder - so my mortgage company could basically force the sale no matter what the secured loan company says? A

Hi Everyone, I was looking for some advice on negotiating with a secured loan provider. We have a flat worth approx 80k - the mortgage is currently sitting at 70k and we have a secured loan of 23k From the sale of the property there will be a shortfall of 13k left on the secured loan - we have asked if the loan company can turn this into a unsecured loan on the same terms as we don't have any other savings etc to clear it off. We plan on renting as we can't afford to buy a new house so it is not possible for us to transfer the loan onto another property. They have said this is a possibility and have sent us an income / expenditure form and asked us to confirm the valuation, sale price etc. Has anyone had any experience of this before? I am just worried that they will see the 13k as too much and block any sale - if there any legal routes to go down if this does happen? I read on a previous post about going to court to get an 'order of sale' i have a lot of unsecured debt (manageable) so i dont see getting another unsecured loan to clear the 13k as an option until well after the sale of the flat when my credit might improve a bit. I'd imagine that there is more and more people in this situation with negative equity etc - when we got this loan they said we could have 125% of the house value - crazy! worst thing i ever done was take it out as secured I'm new to this so if you need any more info please let me know - thanks A