Help - feels like I'm sinking fast!!!

[Julie]

I've posted about my problem before and even though I had great responses I'm still frantic with worry.
Our fixed rate with NR coming to an end May 1st. NR only offered us 7.9% rate which will mean a hike of £300 per month. Through this great forum, Andrew Gravesend has been in touch and did try to help, but couldn't get us a better rate than NR were offering. Andrew did advise me to go back to NR and explain the situation with the hope of going onto an interest only mortgage for the duration of the IVA ( just under 4 years to go). NR put their mortgage adviser on the case, but they've just come back to say they can't help. So we'll have to pay the 7.9%!!! This will be impossible - do you think bankruptcy is the way to go.....I really don't want to lose my lovely home. My inlaws offered to lend me £20k to pay off IVA but as the amount we have to pay back is £56k that wasn't going to help.

The IVA is in my husbands name only and there's approx £20K equity in the property. Please can someone give me advice.

[Lord Soth]

Julie

Rather than a verbal response, would it be worth asking NR for an application form to transfer to an interest only basis. They will then need to consider it properly and give you reasons in writing if they do not agree. I'm with NR and they readily agreed to a 5-year interest only mortgage once I explained my financial difficulties. In addtion, they might have a code of practice about helping their customers in our position so you might be able to cite that? I wish you good luck.

[Julie]

Thanks for the advice.

I'll phone NR and ask for interest only form, anything is worth a shot.

[Rachael24]

Good advice above...Good luck with everything, and I hope it works out for ya!

[MelanieGiles]

There should not be a problem in getting NR to change the mortgage to interest only. Be persistent with them and insist on speaking to a decision maker.

[jpj]

I thought Northern rock were trying to send present customers elsewhere to shrink down their mortgage book?

I got offered a good deal through Leybridge(but that was a while ago!)

I e mailed Jamie at Leybridge last week but got no reply,and I see Mikebdomain hasnt posted for over a month...has Leybridge dissapeared along with all the mortgages??

[MelanieGiles]

I am not sure that they are out to lose the business, but they are just prevented from offering competitive interest rates. If fairness to them they are advising their existing customers to shop around as they are aware there are better deals around.

I believe that Leybridge are still trading, but for some reason have retracted from the sub-prime marketplace. It's odd that you have not received a response to your e-mail though.

[mikebdomain]

Hi Guys... [:D]

Still here and do pop in now and again - Sorry Jpj I will give Jamie a kick this morning and get him to contact you ASAP.

Just to bring those that are interested, up to date:
Leybridge have not fully retracted from the sub prime market and are still fully servicing any applications that are made to us. We are not actively seeking or marketing sub prime business, due to the current market conditions and are concentrating more on ‘clean’ and commercial business.

[jpj]

Good to know your still alive and kicking Mike...... Well if Jamie could have a look at my "dirty" mortgage that would be good! )

These must be trying and frustrating times in the mortgage world!!

[Soulgrowth]

Hi Mike

Good to see you are still around ... I was asking after you at the weekend [:)]

Andy's roadshow will soon be coming to Portsmouth ... perhaps we will see you there?

All the best

Debbie

[mikebdomain]

More than frustrating, with lenders and products dropping like flies... Still we all live in hope

[mikebdomain]

Hi Debbie, I don't see any reason why not - it's just down the road. It would be nice to see you again. I'm NOT bringing Jamie with me again though after the last fan club saga..

[Skippy]

Oh go on Mike, bring him with you - I didn't get to the last one!

[Julie]

Hi everyone,

I phoned NR to go onto interest only and to say they were unhelpful would be putting it mildly!

I insisted I want to go onto interest only and now they are sending me a form. Although they also told me, it has to go to the underwriters and may not go through. I don't understand this, as I have had a repayment mortgage with them for the past 8 years and never missed a payment. Here's hoping NR will help.

Julie x

[Jo Rolland]

If it does happen that you cannot change the mortgage to reduce your outgoings in order for your husband to maintain the payments to his IVA, then bankruptcy could be a solution for you with you not losing the property.

The beneficial interest in your husbands name could be paid to the OR by your in laws and therefore you would remain in the property.