Mortgage Express want copies of tenancy agreements

Reply to the comment left by “Richard Mann” at “09/11/2015 – 14:51“:

Let us assume the first loan was 50% ltv in a good area and subsequent loans were 90% ltv in a poor area. The underwriters may have took comfort from the equity in the 50% loan. In those circumstances I can understand the wish to consolidate if the request for redemption was for the 50% ltv loan.

I would add that it does not always follow on LTV – I would suggest you read the T & C’s

…only that if a property falls in value and the loan was advanced based on a specific LTV like say 85% or 75% If suddenly your house does not have this equity then they as a lender are more at risk I suppose, they advanced based on a specific value, if that changes for whatever reason you become liable to either top up the loan with cash until the LTV works again or sell-up and pay off the full amount…along with any other loans …

Peter

It was just an example as to why an underwriter may be more comfortable with making a loan because of the right to consolidate. I accept that there will be many reasons why a lender may wish to exercise a right to consolidate or call in a loan.

Lest we forget, the primary objective for UKAR is “to facilitate the orderly management of the closed mortgage books of both B&B and NRAM to maximise value for taxpayers.”

It is surely going to take any and every opportunity it gets to move as many mortgages off its books, or nudge borrowers in that direction.

It isn’t making decisions in the same way as other lenders.

Reply to the comment left by “S.E. Landlord” at “09/11/2015 – 14:23“:

I have spoken to MX & requested a redemption statement.
They say that as long as each of the other mortgages with them is up to date, no more than 85% LTV and any ground rent is up to date they will not consolidate.

They are going to check the LTV ( desktop check only ( and put the redemption etc in writing to me.

I’ll post progress when I get their letter.

Reply to the comment left by “Sue P” at “12/11/2015 – 11:22“:

When you have received the redemption statement ring them for confirmation that their computer system has been updated to show that they will not be enforcing the right to consolidate when you repay the mortgage.

Fortunately I only have one mortgage with Mortgage Express, but am ever wary of them. It all seemed so good back in the day. I still have a flyer somewhere, where B&B/ME offer people like ourselves, the availability of up to £5 million for property purchases. Thankfully I’ve always worked on the maxim of not having all of my eggs in one basket.

As we all know, the Northern Rock and Bradford & Bingley/ME mortgages, have until now, been ‘looked after’ by the Government’s Zombie bank, UKAR, but now hear that the Northern Rock mortgages have been sold on to an unsavoury bunch of Americans, calling themselves Cerberus. See: http://www.theguardian.com/business/2015/nov/13/cerberus-us-private-equity-group-northern-rock-mortgages

It can surely be just a matter of time until Mortgage Express mortgages are sold on in the same manner to somebody? It seems that Cerberus are even more active than UKAE in trying to call in loans! Fun days ahead it seems!

As for ME looking at documents from 7+ years ago, how is it that they can act on documents this old, when HMRC can only go back 6 years, and to initiate legal action in Court, there is a cut off date of 5/6 years (I forget which) after which matters cannot proceed?