Rosinca Mortgage – Right to not Consolidate fee 0.5%

Rosinca Mortgage – Right to not Consolidate fee 0.5%

15:56 PM, 4th July 2018, About 6 years ago 8

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Last week, I completed the sale of an apartment. The mortgage was redeemed from Rosinca – this being a mortgage that was recently transferred from UKAR, previously being a Mortgage Express product.

Rosinca have charged me a fee (of 0.5% of the outstanding balance) to waive their “Right to Consolidate” all of my mortgages with them. This mortgage (nor any other) has never been in arrears.

The outstanding balance of £180,000 has created a fee of £902 added to the redemption figure, along with the threat that they would refuse to redeem the mortgage unless this fee was paid.

My solicitor paid the full redemption cost, as this was the only way to complete the sale.

Has anyone else had this experience?

Any advice for me on possibly recovering this fee?


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Neil Patterson

15:58 PM, 4th July 2018, About 6 years ago

Hi Richard,

This is the first time I have run across this one.

How bad would it be if they did try to consolidate?

If it is not an issue start with their formal complaints procedure and ask to see where this fee is in your original signed for terms and conditions.

Richard S

17:23 PM, 4th July 2018, About 6 years ago

Thanks for your response.
I have now spoken to Rosinca and finally got to the bottom of it all..... It seems that when you redeem one mortgage when you have several, then Rosinca check to see that their security is covered. They do this by reviewing the valuation for each property in a portfolio (using Halifax figures) to ensure that loan-to-values are maintained. In my case, it seems that in one of my other properties, they have not used the correct value on one property and this has taken that property above the 85% ltv by 0.4% - which by coincidence equates to exactly 0.5% of the outstanding mortgage on the property I sold. The consolidation amount charged would be used to bring that other property mortgage down to meet the 85% ltv.
In reality, the valuation they have used is out by over 50% (being less than the RICS valuation in 2007! I have raised a complaint with them, which will be dealt with in due course.
If only this was explained in the correspondence for the redemption to my solicitor. It could have been £25,000 out and so what then?
The only good thing is that the consolidation amount is used on another mortgage, so in theory at no real cost to me..... as long as there are no charges.
It is worth leaving this thread open as it I sdefinitely not clear in the correspondence, which is worded in a very threatening way!

Derek t

8:22 AM, 6th July 2018, About 6 years ago

I have also had 6 properties taken over by Rosinca 4 of which are at end of term I have had to market two of the properties and two others not with them to clear those mortgages and pay off the other two. Rosinca have informed the solicitor on the sale of any properties with them they require all the equity from the sale less fees for solicitor and agent to be paid direct to them to go towards the other end of term loans. They also asked how much savings I had and requested 75% of these savings were paid to them to spread across the loans equally to stop them taking control or repossession of all 4 properties. 😢

Chris @ Possession Friend

8:24 AM, 6th July 2018, About 6 years ago

I suppose the obvious question is, was the consolidation fee in their terms of business - Contract ?

NW Landlord

8:32 AM, 6th July 2018, About 6 years ago

I just sold one but paid the mortgage off prior to completion no drama whatsoever

Derek t

8:36 AM, 6th July 2018, About 6 years ago

Reply to the comment left by Chris Daniel at 06/07/2018 - 08:24
ive not checked to be fair I’m sure it’s in there somewhere I just want the properties sold and paid off to get out of the situation so agreed to their demand
After trying to remortgage a number of properties for over a year and getting knocked back or extreamly low valuations and being told they are not viable Rental properties even though they were all let continuously for over 10 years at full market rental value I’ve given up and decided to sell 70% of my portfolio over the next few years and just keep a few that work well

Richard Adams

13:58 PM, 6th July 2018, About 6 years ago

When all the letters etc arrived announcing Mortgage Express mortgages were going over to Rosinca it was made clear by both parties that nothing would change. So did Mortgage Express T's & C's say they would and could pull this fast one on Richard Sproston?

Chris Novice Shark Bait

13:19 PM, 8th July 2018, About 6 years ago

I have 2 M.E. mortgages as mentioned on other threads. Niether were transferred to Rosinca. It would appear that they are treating each individual case on its perceived merits, clearly aware of rights to consolidate and extracting whatever they can get away with. I personally would have challenged them strongly to see what then transpired. This precarious situation is still of much concern to us as we may need to precipitate something as our one serious negative equity property is affecting our remortgage possibilities since PRA rules came in. We await the outcome of a litigation case against the conveyancing solicitors and are unable to disclose more at this stage, but I continue to watch all threads M.E./ securitisation related.

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