Hello can anyone offer some advice on this please.
In August this year my 3-part mortgage is due to end.
Part 1 covered by a guaranteed endowment with some over.
Part 2 due to pay of in August completely.
Part 3 interest only - I was relying on the endowment covering that fully but I have £12,400.00 shortfall.
My guaranteed endowment matured in Feb this year and has been applied now to my Part 1 with the over credit being applied to parts 2 & 3 leaving the £12,400.00 shortfall.
I'm with Barcs/Woolwich and have asked them for an extension of 5 years to pay this off.
All was going well with my local bank person when the mortgage head office said I would need to be treated as a new customer and make a new application.
This I'm told will take 2 hours on the phone to process asking all the normal income, loans questions.
The fact that the local bank person has worked out the repayment over the 5 years to be some £140.00 pounds/ month less than I was paying seems not to make any difference to them.
My concern is I am also in a DMP due to finish in 5 more years or less too.
What effect will this have on any new application I make.
Could Barcs/Woolwich refuse any new application totally ignoring my 30 years of mortgage payment with them.
Could I be forced to sell up to pay off the outstanding instead of over a 5 year period.
I have no difficulties in paying the DMP or my existing mortgage and in fact will be some £140/ month better off due to the endowment having matured.
The extension to 5 years with my existing mortgage I thought would be the easiest and best way to go but I now wonder if there are any other options.
Best regards
In August this year my 3-part mortgage is due to end.
Part 1 covered by a guaranteed endowment with some over.
Part 2 due to pay of in August completely.
Part 3 interest only - I was relying on the endowment covering that fully but I have £12,400.00 shortfall.
My guaranteed endowment matured in Feb this year and has been applied now to my Part 1 with the over credit being applied to parts 2 & 3 leaving the £12,400.00 shortfall.
I'm with Barcs/Woolwich and have asked them for an extension of 5 years to pay this off.
All was going well with my local bank person when the mortgage head office said I would need to be treated as a new customer and make a new application.
This I'm told will take 2 hours on the phone to process asking all the normal income, loans questions.
The fact that the local bank person has worked out the repayment over the 5 years to be some £140.00 pounds/ month less than I was paying seems not to make any difference to them.
My concern is I am also in a DMP due to finish in 5 more years or less too.
What effect will this have on any new application I make.
Could Barcs/Woolwich refuse any new application totally ignoring my 30 years of mortgage payment with them.
Could I be forced to sell up to pay off the outstanding instead of over a 5 year period.
I have no difficulties in paying the DMP or my existing mortgage and in fact will be some £140/ month better off due to the endowment having matured.
The extension to 5 years with my existing mortgage I thought would be the easiest and best way to go but I now wonder if there are any other options.
Best regards