20 or 25 year interest only mortgages

High Street

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Can you please advise did any of the banks give 20/25 years interest only mortgages for purchase of houses or BTL properties during the boom years 2005-2010.
 
Can you please advise did any of the banks give 20/25 years interest only mortgages for purchase of houses or BTL properties during the boom years 2005-2010.
Yes they did. Interest only on a tracker rate even. Bank of Scotland and National Irish bank at least. I filled my boots.:cool::cool::cool:
 
Did bank ever try to take it off you, I always thought i had 25 year interest only on BTL properties but bank said that principal was to kick in after 7 years, even though not very clear in the contracts
 
Got 25 year interest only tracker from PTSB in 2005. Asked for and got letter confirming it was interest only for full duration. Didn't stop them trying to revert to full repayment about 5 years in. I had to cancel DD as they kept trying to collect the full repayment monthly amount. They claimed mortgage agreement superceded any correspondence and then denied they had issued any such letter anyway! Fortunately I was (eventually - had to rummage in attic!) able to produce the letter and they seemed genuinely surprised by it. Backed down and grudgingly accepted reality while "helpfully" advising me every so often to "consider" moving to a full repayment basis! Do they think I came down in the last shower!?
 
Did bank ever try to take it off you, I always thought i had 25 year interest only on BTL properties but bank said that principal was to kick in after 7 years, even though not very clear in the contracts
Why did you think you had 25 year interest only? What exactly does your contract state?
 
Part 2 of the ICS mortgage loan offer states Type of Loan - Interest Only. NB all correspondence prior to loan offer referred only to - Interest Only, which is what I applied for. There was never any reference to capital repayments kicking in after 7 years.
Part 1 of the MLO states the amount of the mortgage; loan period of 25 years; number of repayments 84 and 216. While I know now that I should have examined this more closely, there is no reference on the MLO to capital repayments
 
Sincere thanks for your prompt and helpful replies. The loans were first offered by ICS and then transferred to BOI, I am dealing with BOI on the loans for the last number of years
 
Part 2 of the ICS mortgage loan offer states Type of Loan - Interest Only. NB all correspondence prior to loan offer referred only to - Interest Only, which is what I applied for. There was never any reference to capital repayments kicking in after 7 years.
Part 1 of the MLO states the amount of the mortgage; loan period of 25 years; number of repayments 84 and 216. While I know now that I should have examined this more closely, there is no reference on the MLO to capital repayments
7X12 = 84. So clearly you’re not 100% correct about it being IO for 25 years when that fact shows the first 7 years are different from the other 18 years.
 
Dear Bronte
I am simply stating what it says on the MLO and also that I applied for the loans on the basis that they were IO loans, so it was a big shock when I realised that capital repayments would start after 7 years (84 months). It clearly states on the MLO that the loan was IO for 25 years. So I am wondering are there any other similar cases out there who could advise? So it is not a matter of me being correct or not, I am just pointing out what happened at the time. I don't think it is unreasonable for me to expect that ICS at the time could have made it clear that while it states 25 years Io on the MLO, IO would in fact apply for 7 years only and not 25. Hindsight is a great thing and of course if it were now, I would question the reference to 84 and 216 on the MLO.
 
All my loans with ICS were initial 10 years at interest only
followed by 15 years interest plus capital

At end of the 10 years it became obvious the new terms were unsustainable so there was an arrangement. After several meetings. The term was extended. One loan was paid off. One loan was split where 60% was interest only.
 
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