Can ptsb insist on moving me from interest only?

[Sorkledan2019]

I have a btl interest only tracker with Ptsb in negative equity by about 100k, ten years ago I asked if I could start paying off capital and doubled my repayments they insisted the additional payments would sit in my account as a credit rather than reduce the capital. I ended up having children and problems with the tennants and just kept paying the interest only. I offered voluntary surrender but they said they would only agree if I gave them a lump sum. So I continue paying interest only but the mortgage is only for 10 more years and Ptsb are writing to me seeking 500% increase in repayments I keep reminding them I have never gone into arrears and when house prices improve in the area (west of ireland) I will sell the house in the hope to break even. Can they force me to pay such a increase in the capital?

 

[Brendan Burgess]

This is an ongoing issue with a lot of people:

ptsb has offered to extend by interest-only period by three years

Hello Just had an offer from PTSB end January offering the following on our BTL tracker 1. Capitalisation of arrears 2. 3 years interest only period after which it will revert to paying interest and capital again. We have a BTL tracker with PTSB taken out in 2006. As far as we were...

www.askaboutmoney.com

The contract said it was interest only for 5 years and not for the full term. So, yes, ptsb can demand capital repayments.

You should provide all of this information to get a fuller response:

Case study - Information required for mortgage arrears and negative equity questions

Please copy and paste this post into a new thread. If you give comprehensive information, it will maximise your chances of getting comprehensive and useful results. Income details Net monthly (i.e. after tax) Income self: nature of income e.g. self-employed/public servant...

www.askaboutmoney.com

 

[George12]

I am in the same boat. In my case and it sounds like the same in your case they totally ignored the 5 year anniversary of the mortgage and now more than seven years later are doing the review. They reviewed the case in 2013 when I too asked to repay some capital - like you was told this was not possible but surely that was the opportunity for them to realise they had missed the review date. The summary (front) page of the loan offer just refers to it as being an interest only mortgage with a term of 25 years. The 5 year initial period is outlined on the subsequent pages but maybe the front page should have called the mortgage a 5 year interest only mortgage for example.