Hello
I have an investment mortgage on a property that I took out 10 years ago. Despite the decline in property prices I continue to meet my mortgage repayments each month. In recent years I have discussed this mortgage with the Bank on numerous occasions and I have emails from 2 representatives in 2008 and 2009 confirming that the mortgage was interest only until expiry. Last year I had a meeting with the Bank to discuss the mortgage and the interest rate was reduced by 0.5%. I recently got a letter from the Bank out of the blue stating that due to a systems error the mortgage should have converted to capital and interest 5 years ago and as a result your mortgage repayments will increase from 800 to 1700 from next month. I lodged a complaint stating that I had adhered to the contract, signed up to pay for DD and relied on the Bank to provide accurate information as I have mislaid my mortgage documentation. I sent a complaint letter requesting further information and the capital shortfall is around 50k. I dont see why I should have to pay for the Bank's error. Has anyone been in this position? Is my only option the FSO? Can someone recommend a good solicitor? I have submitted a financial statement to the Bank so they know I cannot afford to repay 1700 a month. Any advise would be welcome.
I have an investment mortgage on a property that I took out 10 years ago. Despite the decline in property prices I continue to meet my mortgage repayments each month. In recent years I have discussed this mortgage with the Bank on numerous occasions and I have emails from 2 representatives in 2008 and 2009 confirming that the mortgage was interest only until expiry. Last year I had a meeting with the Bank to discuss the mortgage and the interest rate was reduced by 0.5%. I recently got a letter from the Bank out of the blue stating that due to a systems error the mortgage should have converted to capital and interest 5 years ago and as a result your mortgage repayments will increase from 800 to 1700 from next month. I lodged a complaint stating that I had adhered to the contract, signed up to pay for DD and relied on the Bank to provide accurate information as I have mislaid my mortgage documentation. I sent a complaint letter requesting further information and the capital shortfall is around 50k. I dont see why I should have to pay for the Bank's error. Has anyone been in this position? Is my only option the FSO? Can someone recommend a good solicitor? I have submitted a financial statement to the Bank so they know I cannot afford to repay 1700 a month. Any advise would be welcome.