ACT NOW to protect the margin on your YOUR tracker mortgage

ACT NOW to protect the margin on your YOUR tracker mortgage

13:57 PM, 24th September 2013, About 8 years ago 123

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Help us to protect YOUR tracker marginsIf you have a tracker mortgage you may be forgiven for thinking that your mortgage payments will only change when the base rate changes. 

Just suppose you open your post one day to find that your mortgage lender has decided to increase the tracker margin by a couple of percent!

Sounds unimaginable doesn’t it?

Well it isn’t, and you could be next!

This shocking news was recently delivered to 6,700 customers of the West Bromwich Building Society. What’s more, this is not something new, 13,500 Bristol & West and Bank of Ireland Mortgages customers received exactly the same treatment in February 2013.

Outraged? Their customers certainly were!

Could you be next???

West Brom stand to make an extra 19 million pounds a year if they get away with this. How much will your mortgage lender stand to make when they decide to do the same thing? It’s a big incentive for them isn’t it, especially if they think they are unlikely to be challenged due to the inability of landlords to raise the required funds to put up a fight.

If a group of named landlords decides to fight this in Court the claims will typically be for the value of the increase over the remaining term of the mortgage. By way of example, if your mortgage increases by £150 a month and you have 18 years to run on your mortgage your claim for damages would be £32,400.

We need to raise awareness if we are to raise the money to fight the test case

There are 6,700 affected borrowers with West Bromwich Building Society and a further 13,300 affected by bank of Ireland already. However, that doesn’t mean raising the required level of funding will be an easy task to achieve. Many of these people will never get to hear about this campaign and that’s where you come in. You may or may not be affected today but what about next week, next month or next year? To discourage your lender to follow the lead of WBBS and BoI and increasing your tracker margins we need to convince them they will have a fight on their hands if they do! Knowledge of our intentions will also act as a deterrent to other mortgage lenders due to the huge commercial risks associated with the potential for thousands of compensation claims running into hundreds of millions.

YOU can make a difference

Whether you are directly affected now or not, we urge you to help promote this campaign. The sooner we can raise enough interest, the sooner we can raise the money to commence litigation and stop this profiteering in its tracks. Please talk to your friends about this campaign and ask them to sign up. Please email a link to this discussion, share it on your Facebook, Tweet it, blog about it, post links on forums – SHOUT IT FROM THE ROOFTOPS!

Your wealth is at risk if you choose to ignore this message!

Please get involved and support this campaign by completing the form below.


by Anon

14:34 PM, 26th September 2013, About 8 years ago

I would appreciate your thoughts on the following conspiracy theory.

As we know, Mortgage Express is run by UK Asset Resolution who are tasked with recovering as much money as possible for the tax payer.

If UKAR were to increase tracker margins for Mortgage express customers, to a point where most landlords were to default on their mortgages, UKAR would be in a position to appoint LPA receivers. This would not affect the number of properties in the PRS but it would mean that a centralised body, controlled by the Government, would control a huge section of the PRS. In turn, that would create jobs in the public sector, it would mean that Jo Public wouldn’t have to deal with rogue landlords and letting agents to anywhere near the same extent and it would also provide a better opportunity for recovery of tax payers funds.

Apart from landlords, can you imagine tax payers not supporting such a scenario?

As I see it, the clock is ticking and landlords only have so much time to diffuse this bomb. The success of a Class Action could prevent the above. If a test case isn’t won before the above scenario comes to pass then I’m afraid the PRS as you know it is doomed.


by Rob Burchall

15:37 PM, 26th September 2013, About 8 years ago

Hi Mark - Will be joining up
FYI - my mortgage offer is dated June 2009
It was a reissue of an offer the year before following a transfer of equity
At the time I had 9 payments left on a fix
It states "after 9 payments, your premium rate ends and assuming that interest rates do not change your new payment on your loan will be £324.05. This new payment will continue for 276 payments at a variable rate which is the same as the bank of England base rate, currently 0.5%, with a premium of 1.99, until the term end, giving a current payable rate of 2.49%.

by Helen Landlord

3:55 AM, 27th September 2013, About 8 years ago

I'm planning to start a small claims legal case against West Brom for say five years x £120 increased cost x 12 = £7,200. I've used the small claims court loads and it generally works very well for individuals against companies. The legal costs from my side are minimum (as i would represent myself and there would be no come back of me paying their legal fees even if i lose), and if West Brom chose to contest then the legal costs from their side would be much higher. It feels like an interesting way to pursue to see what a local judge thinks of the West Brom's actions? Thoughts?

by Mark Alexander

7:29 AM, 27th September 2013, About 8 years ago

Reply to the comment left by "Helen Holterman" at "27/09/2013 - 03:55":


I am impressed, are you a solicitor?

The reason I ask the question is that Justin Selig also came up with this idea yesterday and has been discussing it with our barrister.

You may wish to hold off for a short whilst whilst the legal arguments are fully prepared. As I am now affected personally by this too it's also something I am seriously considering but I'm biding my time and awaiting professional advice to maximise my chances of success.

This may well be an excellent way for us all to become a thorn in the side of West Brom but we must ensure we have the best possible legal arguments before we press the button.



by Justin Selig - solicitor

7:58 AM, 27th September 2013, About 8 years ago

Reply to the comment left by "Mark Alexander" at "27/09/2013 - 07:29":


This is definitely an option and is something that we are looking at coordinating. This will not work for everyone as some people's claim will be in excess of £10,000. Also because of the complexity of the case the court may rule it not to be a small claim or if there are multiple claims of a similar nature the court may consolidate the claims into one and take it out of the small claims jurisdiction.

It is certainly worth looking into which we are currently doing.

by Devon Landlords

8:04 AM, 27th September 2013, About 8 years ago

Reply to the comment left by "Mark Alexander" at "27/09/2013 - 07:29":

Re: Helen's comment - this could be a really good way forward - keep us posted. We are thinking of similar action.

by Helen Landlord

9:40 AM, 27th September 2013, About 8 years ago


No i'm not a solicitor but have used the small claims court with tenants and companies loads. I find it very effective. It would have to be dome on a personal basis. With companies they usually don't contest the debt as it's too expensive for them. The key would be to ensure you are under the £10k threshold (just reduce the years you claim for). I noticed on some small claims for bank charges individual won the cases but then the they were put on hold so they were unable to claim the funds (although i'm not sure if they appealed this). I think this is a good route to go certainly for me personally.

by Rachel Weaver

11:00 AM, 27th September 2013, About 8 years ago

How do you work out how many years you can claim the increased rate for? Is it for the remainder of the loan term? But what if you redeemed the loan earlier?

by Mark Alexander

11:11 AM, 27th September 2013, About 8 years ago

Reply to the comment left by "Helen Holterman" at "27/09/2013 - 09:40":

Please take heed of advice from Justin Selig (up two posts). He is the solicitor representing the Class Action.

Also, please see the linked article below.

by Mark Alexander

11:31 AM, 27th September 2013, About 8 years ago

Reply to the comment left by "Rachel Weaver" at "27/09/2013 - 11:00":

Hi Rachel

We might be getting ahead of ourselves a bit now but I will answer your question.

The claim would be for breach of contract and the claim amount could be for all losses you could incur right up to the end of the contract. If you win you would get the money up front. If you were to repay the loan the very next day there is nothing that could be done about that, i.e. you keep the entire sale proceeds.

Let's not get too excited about that yet though, although it is a mouth watering prospect isn't it?

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