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Scottish Trust Deed Forum
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Topic starter
16/02/2011 4:07 pm
Hi DTF,
Question for you... I have been in a TD now for almost 2 years, and while its been very difficult (and I question at times its policy's and charge rates) its been working for us. One question I do have is that while the economic issues of late have kept our mgt stable (with a low interest rate), is there any lender out there that will take on a person in a TD. We are with NRAM and they have no interest or indeed licensed to sell new mortgages. I did point out that future rises in our mgt would put re-payments in question should interest rates rise, still they are not willing to freeze them until the end of my TD (wishful thinking on my part).
Any advice on lenders you could recommend would be welcome?
Regards,
TT
16/02/2011 4:14 pm
Hi TomThumb and welcome back.
I'm afraid that I'm unaware of any mortgage lender prepared to offer a new mortgage to someone who is currently in a trust deed.
While it's predicted that interest rates may rise later in the year there are huge differences in expert opinion when this will actually start to happen. All being well you'll be very close to the end of the trust deed by the time that any significant increase starts to bite.
Is your current mortgage on a repayment or interest-only basis?
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
Topic starter
16/02/2011 4:25 pm
HI TDA,
Interest-only. We can survive a small increase but not much. If push comes to shove I would contact the our IP and see if they could accommodated the change. I'll hang out and see what happens.
Regards,
TT
16/02/2011 4:51 pm
If/when this does happen TomThumb there are going to be thousands of people currently in protected trust deeds who are affected in the same way.
I wonder if Insolvency Practitioners and/or their trade bodies ought to be coming to an understanding with creditors now about how to manage this scenario in general, rather than having to deal with it on a case-by-case basis when it does happen.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds
