W
wexfordian
Guest
Hi everyone,
I remortgaged on a variable rate mortgage 2.5 years ago with Sub Prime lender Springboard. (I know!).
I needed money badly at the time and had no choice but to remortgage with them. (I was with AIB and fell into arrears but paid them off years ago but when I tried to remortgage with them, they declined even though I had not missed a payment in years. Basically it was because of the historic arrears).
The mortgage broker told me back then all I need is to stay with them for 2 years and he would move me onto a prime lender. I'm not in negative equity.
Terms are for 40 years interest and capital repayments. Interest rate 5.85%.
I got a letter today stating that "the interest rate will be changed with effect from 1st April to 6.8%"
The reason?
"Your new revised monthly payment reflects unpaid charges incurred (if any) throughout your mortgage term to date"
Can anybody please tell me what this is about and do I have any options?
I haven't missed a payment with them and the way this was done is scaring me. Feeling really trapped.
Thanks in advance.
I remortgaged on a variable rate mortgage 2.5 years ago with Sub Prime lender Springboard. (I know!).
I needed money badly at the time and had no choice but to remortgage with them. (I was with AIB and fell into arrears but paid them off years ago but when I tried to remortgage with them, they declined even though I had not missed a payment in years. Basically it was because of the historic arrears).
The mortgage broker told me back then all I need is to stay with them for 2 years and he would move me onto a prime lender. I'm not in negative equity.
Terms are for 40 years interest and capital repayments. Interest rate 5.85%.
I got a letter today stating that "the interest rate will be changed with effect from 1st April to 6.8%"
The reason?
"Your new revised monthly payment reflects unpaid charges incurred (if any) throughout your mortgage term to date"
Can anybody please tell me what this is about and do I have any options?
I haven't missed a payment with them and the way this was done is scaring me. Feeling really trapped.
Thanks in advance.