Mortgage – First mortgage prisoners FREED underneath new affordability guidelines after MSE marketing campaign
Maurice Latimer (pictured proper), who’s 76 and from Milton Keynes, is among the first freed prisoners. He transferred to a brand new mortgage with West Brom earlier this month, and slashed his rate of interest from 4.59% to simply 1.84%, on a two-year fixed-rate interest-only deal. In consequence, his month-to-month funds had been halved in a single day, from £886 to simply £401 a month – an enormous £485/month saving.
Maurice, who’s spoken to Martin about mortgage prisoner coverage earlier than and is a part of the UK Mortgage Prisoners Fb group, took out an interest-only mortgage with Northern Rock in 2001. When Northern Rock collapsed, his mortgage was bought on to a agency known as Cerberus. He then struggled to get one other, partly as a result of his and his spouse’s joint revenue was too low to move some affordability checks – even for cheaper mortgages than the one he was one – and partly as he would flip 65 earlier than the top of his time period.
He informed us: “For years I simply acquired letters saying what was taking place by whoever was in command of my mortgage and I mainly had no say – I used to be handed spherical like a parcel. I might tried to modify offers earlier than, however I knew it was a waste of time due to the strict affordability checks. I couldn’t get something till West Brom got here alongside.
“I discovered concerning the West Brom deal – I feel by way of Fb – and I utilized instantly, however was intially rejected due to my age as a result of I might be 81 earlier than the top of my mortgage time period. Then after discussing, I used to be capable of move and get a completion.
“Earlier than this saving for me and my spouse, the liberty to do what we needed with our cash was gone. I reckon I’ve paid £10,000s greater than I ought to have, and it is nothing to do with me – it isn’t my fault in any respect.”
Nevertheless Maurice stated that whereas he is relieved to have moved to a brand new deal, extra intervention is required to assist lots of these caught on costly offers.
“Banks and constructing societies can do what they will to assist – as West Brom has achieved – but it surely’s a sticking plaster,” he stated. “There must be large change and the Treasury must withstand the issue.”