Hi,

Just wondered whether you had any luck with the ombudsman ?

i appear to be in the same situation.

Kilchoan

Apparently, all the "old" GMAC loans will get this rate and anything taken out with MX directly, still gets 1.75/1.99 above base

I have no doubt that the GMAC loans are being viewed more as toxic than MX direct loans - be that accurate or otherwise

and they will want rid of them

cheers,

k

I have today rang and spoken to the Financial Ombudsman regarding what I feel is an unfair SVR by Mortgage Express. As far as I can see when I first took a mortgage out with the then GMAC (later to become Mortgage Express). That at the end of my fixed rate term the SVR that would be applied would be 1.99% above Bank of England base rate. I received 2 mortgage offers from GMAC in the March 2007 whereupon BOEBR was 5.25% and GMAC SVR was 7.24% giving a balance of 1.99% in my case.

In May 2007 I received a fresh offer due to the earlier offer having lapsed, at which point the BOEBR was increased to 5.5% and the GMAC SVR was 7.49% giving a same bal of 1.99%. as that in Mar 07

I have just received a letter from Mortgage Express informing me the SVR to be applied to my mortgage is 4.84%. Taking the BOEBR as of today @ .5% the bal has jumped to 4.34%.

I have taken up issue with Mortgage Express and one of the consultants informed me the SVR has been set so high as they are looking to discourage me from keeping my mortgage with them as they don't want mortgages!.

I have further spoken with other Mortgage Express officials and to be quite frank have been told they can more or less charge what they damn well like as far as I understand it. The Financial Ombudsman is now dealing with my complaint and I to urge as many dissatisfied customers to complain to the Financial Ombudsman tel: 0845 080 1800

Hi,

I am currently with ME and my B2L fixed mortgage will be coming to an end soon. I havent moved to another lender yet. I thought I will take advantage of the SVR.

What I want to know, is if I no longer want the B2L mortage and want to reveret back to a normal mortgage, what will the change it to? Can they just put me back on a normal SVR mortgage?

Basically, I want to move back to my house. But under B2L mortgage, you cant do that.

Cheers.

pallmall

Thought you might me interested in the following:

http://www.bloomberg.com/apps/news?pid=20601102&sid=aVlWdNfgMzBc&refer=uk

mx2

MX2

Your right, it is a very unusual scenario but one that I am sure we will be seeing more often over the coming year.

Good luck with the negotiations, I hope you have good success with them.

Pallmall

I was surprised to see this thread is still alive! I was here at the beginning and totally unaware due to the lack of communication from B&B. Are people on here with MX/BB mortgage or in some other way related (in the know)?

I agree, interesting reading cos i have confused suspicions as to where this will all end up. I do no a news report suggested a takeover and why isn't BB on the same registration as AL & Abbey even tho its part of SANTANDER?

Anyhow, i was passed onto a mortgage broker by BB but didn't come up with a deal i was expecting just after the interest rate slumped. The best was a 3.99% with fees n charges. So i decided to repay£10,000 and remain on SVR @ 4.59% At least it reduced the monthly interest by £100 which we will save towards our endowment shortfall. Having worked my own figures out it will be less costly to pay it off as soon as possible so we needed the flexibility.

Anyone heard anything about BB shares? I have had no correspondence about this whatsoever. Its a disgrace! I would NEVER put my money in BB and certainly don't recommend anyone to. Its the dodgybank so definately watch this space!

Its all relative to how much they want to go. Advantage is the only comparison, they seem to acknowledge all of our cost considerations when making their offers. It is no doubt a very odd scenario, but they want you to go. For you to go from an 85% ltv on 1% interest to a 75% LTV on 5.5% will be expensive to set up and costlier to run for at least two years ( Mervyn King`s hint on interest rates today).

MX2,

My reference to the further phase is based on my own assumptions and some very general feedback from mortgage brokers closely connected to MX. I don't think the uptake is that high from the current offer, especially for the B2L accounts. It just doesn't make any sense for MX to encourage current customers to leave say a 1.75% above base deal (currently 2.25%) with no tie in to another B2L lender that will offer a rate of circa 5% if your lucky and will want at least 20-30% deposit from a low property valuation and will charge you around £2k for the privelage ! I think the current offer may apply to certain individuals on very high rates that have further lump sums to contribute to a re mortgage but I don't see that many people around in reality !

The current offer just proves that they are prepared to encourage people to leave but in the cold light of day, cash incentives will be the only way to push people into finding further deposits and paying higher interest rates from other lenders.

pallmall

Pallmall

I too have fingers crossed. I have thought the MX scenario you describe may happen for some time and have been surprised no one else has raised it. Is your reference to phases based on your own speculation or something you have heard. As I am also an Advantage customer I am now negotiating their offers, they are very keen to do this quickly. In order to ensure we all benefit to the maximum these blogs are extremely useful, there is potentially a significant amount at stake.

Thanks

MX2

I have already written and complained to the OFT about their Unfair Treatment of Borrowers and have similiarly complained to the FSA Ombudsman.

Suggest you do as well along with umpteen thousand others and maybe we'll get something done about this.