That's a really helpful update on mortgages Graeme.

Mortgages are a subject that come up frequently on this forum and it's great to have someone with their "ear to the ground" contributing here.

Hi Graeme, we have no equity in house and also have a secured loan which we totaly regret however have never missed any of the payments on either or mortgage or secured loan.

We are with Northern Rock and would love to change as they are not interested in any of their existing customers and we had to go onto the variable rate once our fixed rate ran out. We prefer a fixed rate to budget. Our debts were out of control and are glad we signed a trust deed as it will be worth it at the end of the three years. Money is tight and can't go holidays etc but we have now completed our first year. Having said that we had a together mortgage and the unsecured part was agreed by Northern Rock to be part of the trust deed. We were quite surprised when they agreed as we owed them 28k.

Would be interested in your comments.

Thanks

Hi CAR038,

Is the Northern Rock mortgage total equivalent to the value of the home (with the secured loan on top)?

I'll email Graeme so that he knows about your question... I think that confirmation would be helpful for him.

Hi Trust Deed Assistant

We have approx 110k outstanding on our mortgage and 20k secured loan as well with Picture Finance. We also had the 28k unsecured with Northern Rock which is now part of the deed. We bought our house for 118k but borrowed more than the value from Northern Rock. Our house was valued for the trust deed at 110k. does this make sense?

It does, thank you.

As mentioned I sent Graeme an email. The nature of his job is that he is out and about quite a lot but I'm sure he'll respond when he is next in the office.

Hi Trust Deed Assistant, thanks for that, look forward to hearing from Graeme. Thanks for you.r prompt replies

Hi, The best course of action here is to do nothing ! In the current climate you need a minimum of 15% equity within your property to be able to re-mortgage. The variable rate with the Northern rock is comparable to the 85% rates so even if you had equity within your property i would probably not suggest changing at this stage.

It is unlikely that interest rates are going to move in the short term so sit tight.

Also check with your Picture loan to see if you had PPI insurance on the loan. Most secured loans with Picture do , and you may be able to reduce the balance of the loan substantially by applying for mis-selling.

Hi Graeme, thanks for your comments. We previously had PPI insurance and paid loan back in full when we moved house. We paid them around 56K !Our new loan with them is without PPI but we had a circular through the door re PPI and contacted the company concerned to act on our behalf. I believe from this forum that any money due would need to be paid to the trustee. Pity it can't be used to reduce present balance?? Take it this is not an option??

Sorry CAR038, you are probably right that the funds would need to be paid towards your trust deed, though there is no harm in asking your trustee - they may be willing to allow you to keep some for going to the trouble of claiming the rebate in the first place.

Hi CARO38, I agree with Kevin, it does no harm to ask your trustee whether they would be willing to allow you to retain some of the funds.

Graeme thatÔÇÖs always helpful to hear up to date news about the mortgage market. Can I just add, however, that the trustees donÔÇÖt have any say in respect of the information contained on an individualÔÇÖs credit reports.

Julie

Hi new to the forum,

I'm trying to remortgage with the high street lenders but have been knocked back after being told i had been accepted. All the paperwork was completed, house surveyed etc only then to be told by the broker that the lender has pulled out. This was due to their solicitors finding my completed TD from over four years on a land registry search. It was still showing against my old property which i moved out of over two years ago.

Since the TD was discharged :
I have cleared my credit history.
Moved house and not defaulted on any mortgage payments.
Taken out a loan with a high street bank and again not defaulted on any payments.

So my questions are :

Why was this not removed when the TD was finished and I was discharged ?

Why would it put off a lender when it finished over four years ago ?

Why would it put off a lender when i already have an existing bank loan and mortgage ?

How do I get this removed once and for all !!!

Hello Discharged 06,

While the reason given by the lender for pulling out was connected to your Trust Deed, the reality is that mortgage lenders are finding ways/excuses to pull out of lending (at the last minute) for all sorts of reasons and for all sorts of people.

It's a very nervous lending environment and mortgage lenders are competing to cherrypick what they see as being the very very safest borrowers.

I know Graeme Leckie, a mortgage broker who sometimes posts on this forum, has been succesfully arranging mortgages for visitors to the site that have completed their Trust Deeds.

We'll email him and ask him to add his thoughts about the situation to this thread... though bear with him as he tends to be out and about quite a lot visiting clients.

Hi,

It depends very much on the lender that you applied to . Certain lenders want a minimum period of 6 years since the discharge date before they will consider you for lending . However there are high street lenders that will look at a case from the date of discharge assuming that everything else stacks up ,i.e that your credit report is showing all debt has been satisfied, you are putting down a reasonable deposit and your income is sufficent to support the borrowings.

Hi Discharged 06, it must be very frustrating for you to be still having this kind of problem 4 years on.

I'm surprised that anything would be showing on the land registry. Normally this would remain unaffected, unless your trustee actually made up title to the property - ie took ownership of the property in order to sell it. This would be very unusual in a trust deed though.

Perhaps it was actually the register of inhibitions it showed up on, although I was under the impression that once the inhibition is discharged at the end of the trust deed it would no longer show on the register.