Mortgage sold to Start! Insurance broker has contacted me.

[Maz2408]

My home and buy to let mortgages have been sold to Start. My mortgages and mortgage protection policies were all taken out through an Irish Life and PTSB broker, as such the mortgage protection payments have always been debited as part of the inclusive monthly mortgage payment in one direct debit for each individual mortgage.

Last week I recieved letters from PTSB explaining that the mortgage protection portion of my payment would now have to be paid directly to Irish Life and they enclosed direct debit mandates for me to complete and return to Irish Life before the end of November.

Today I recieved a letter through a tenant at one of the buy to let properties from an insurance broker, the letter explained that they have taken over the clients of the previous broker who arranged my mortgages and mortgage protection policies.

They went on to say, PTSB would have written to me regarding new direct debits for the policies and as an independant broker they have access to various providers of this type of cover and thus may be able to offer a more competitive product.

It's safe to assume that the insurance broker has knowledge that my mortgages have been sold to Start and as such that I have mortgage arrears and financial difficulties, should an independend insurance broker have been given access to my personal financial data?

 

[Brendan Burgess]

They went on to say, PTSB would have written to me regarding new direct debits for the policies and as an independant broker they have access to various providers of this type of cover and thus may be able to offer a more competitive product.

Hi Maz

This is the key issue here. You are crazy to be paying the same mortgage protection you took out when you drew down the mortgage.

You should be shopping around for a better deal. You might even consider just scrapping it altogether.

So get over the issue that a professional insurance broker knows that you are required to change your insurance.

And just in case you are still upset at it.
1) Old brokers Ltd sets up a mortgage and mortgage protection for Maz with ptsb and Irish Life
2) ptsb sells that mortgage to Start
3) ptsb notifies the Old Brokers Ltd that they mortgage has been sold and that changes need to be made to the mortgage protection policy.

All seems very reasonable to me.

Brendan

 

[Maz2408]

Hi Brendan, Thank you for your reply.

I fully intend scrapping the mortgage protection on the buy to lets at the earliest possible opportunity, something PTSB would not let me do previously. I would then pay the €120pm insurance saving toward reducing one of the loans which is what I requested PTSB allow me to do in the past.

Only concern I have is! If I default on the inclusive mortgage protection which was non negotiable at the time the restructure agreement was put in place 3 years ago, am I then possibly defaulting on the terms of the restructure agreement itself. I'm assuming Start are going to be difficult to deal with, so last thing I want is to be seen as defaulting in any way on the restructure agreements.

I may have to complete the DD mandates and make mortgage protection payments until Start have taken over the accounts, then approach Start about dropping the mortgage protection in favour of increasing monthly mortgage payment.

I have approximately 18 years remaining on restructured mortgage agreements on the buy to lets, €120pm toward payments is a substantial amount over 18 years.

Regarding broker, PTSB had already sent me out DD mandates to complete. I see no reason why they notified any broker let alone an independent broker.
My concern is Data protection and brokers contacting me by post to a tenanted address that's not and never has been my Home address.

 

[Bronte]

Not sure why data protection is worrying you. Nor the fact they sent a letter to the only address they have for you.

 

[Monbretia]

Yes but isn't a random broker that is sending the letter when he really shouldn't even have the address and not the bank the mortgage is with or am I missing something?

I'm easygoing enough about all this data stuff but I think that might annoy me too if the bank is giving details to a 3rd party that the customer has no previous dealing with, can't remember my data protection stuff that well but that's surely not allowed.

 

[Maz2408]

Not sure why data protection is worrying you. Nor the fact they sent a letter to the only address they have for you.

The previous broker arranged all mortgages that have been sold to start, 2 buy to let's and my home mortgage they were well aware of my home address as were PTSB who passed the information on to the new broker.

I'm annoyed because an employee of the new broker knows me personally and is someone I see on a regular basis who I now feel knows personal financial information about me, which makes me uncomfortable.