Together Mortgage Northern Rock

[annedoug]

Hi, help required.

 

I have the usual Together Mortgage.(In Scotland)

 

Problem is thus:

 

August 2005

 

Mortgage UK 78,000.00

Unsecured Load UK 25,000.00

 

Fixed Rate for 2 Years

 

On completion of the above 2 Years:

 

Informed to us that the Mortgage could be fixed at one rate for 5 years, but that the unsecured loan would now be at a ridiculously high rate.

 

When we said we were not happy with this as we were originally advised they would be linked to each other at the same rate, we were advised to then lump it all together as one mortgage and now we have a secured loan of UK 22,500 to be paid over 20 years and a mortgage of UK 73,500. It is now at a fixed rate for both at 7.49% until 2012.

 

 

We had no option to change mortgage lenders due to the fact that the unsecured loan would still be with them at a rate we definitely could not afford. They had us by the "balls".

 

They also advised us at that time that they valued our home at around UK 106,000. The house is lucky to be valued at UK 85,000 at a push today and also when they advised it would be valued at UK 106,000. They never did a survey.

 

In a nutshell, we have been given a loan for UK 25,000.00 which we have paid for 5 years now and only have paid off UK 2,500 and we will be paying it for a further 20 years !!

 

RIPPED OFF AND DEPRESSED.

[annedoug]

Hi, help required.

 

I have the usual Together Mortgage.(In Scotland)

 

Problem is thus:

 

August 2005

 

Mortgage UK 78,000.00

Unsecured Load UK 25,000.00

 

Fixed Rate for 2 Years

 

On completion of the above 2 Years:

 

Informed to us that the Mortgage could be fixed at one rate for 5 years, but that the unsecured loan would now be at a ridiculously high rate.

 

When we said we were not happy with this as we were originally advised they would be linked to each other at the same rate, we were advised to then lump it all together as one mortgage and now we have a secured loan of UK 22,500 to be paid over 20 years and a mortgage of UK 73,500. It is now at a fixed rate for both at 7.49% until 2012.

 

 

We had no option to change mortgage lenders due to the fact that the unsecured loan would still be with them at a rate we definitely could not afford. They had us by the "balls".

 

They also advised us at that time that they valued our home at around UK 106,000. The house is lucky to be valued at UK 85,000 at a push today and also when they advised it would be valued at UK 106,000. They never did a survey.

 

In a nutshell, we have been given a loan for UK 25,000.00 which we have paid for 5 years now and only have paid off UK 2,500 and we will be paying it for a further 20 years !!

 

RIPPED OFF AND DEPRESSED.

 

Forget to add, if there is any basis for a claim against the bank, is there a Solicitor in Scotland who specialises in a Claim of this sort ? I am happy to pay a Solicitor if there is a basis for a Claim.

[rennuz]

As you have now done what they advised you have almost shut the door after the horse has bolted. Essentially all you can do is to complain about the current deal you are on. I had a N.ROck together loan and I knew that if you changed lenders it would increase by 11% but I was under the impression if you stayed with them it would stay on the variable rate. Also the increase in the unsecured loan only came about in mid 2000's so you may be lucky and your mortgage offer may not have that stipulation that they have told you it has.

 

First thing get your old mortgage offer and read through it, this will tell you whether they are right or wrong with what they have told you. It should be simple enough to understand. Also N.Rock had lots of different mortgage offers so they may well have got it wrong.