Mortgage mis-selling (HBOS)

[orfoster]

Hello everyone,

Me again....

Back in July 2008 I was in the process of buying my home with my ex. We were buying it as part of an open market home-buy scheme which would mean the Government owned 33% of the house.

We were in the process of taking a mortgage with HBOS. For reasons that will become clear later HBOS assessed my income as being enough to afford the house by myself.

So, I needed to check some things that confused me in the mortgage documents they sent through in relation to payment holidays, my ex at the time wasn't very secure in her job and if we were to buy a house together I wanted to make sure we could get a payment holiday if we needed one temporarily.

In the chain of emails attached you will see a really important conversation between me and the Mortgage advisor about being able to take a payment holiday - she said "YES" it would apply to us, even though we had this other Government thing. So on that basis we took the mortgage with HBOS on a fixed rate for 5 years.

The reason we did the fixed rate was because we were secure, the payments were known, the budget was set and we knew our options based on the advice of the mortgage advisor at HBOS.

In November 2012 I had a bit of a blip in that one temporary contract ended and a permanent job started, I was also having to care for my younger sister so was expecting a drop in income for 2 months. So I called HBOS - to be told I wasn't eligible for a payment holiday because I had a 2nd mortgage on the house, I questioned this with them as I was told in writing that I'd be eligible (very annoyed).

Anyway, I told them this would be for a short while as I knew a) I was getting a much better paid role b) was getting money in April. Which was all true, the arrears I accrued I paid off in one lump sum.

I'm annoyed because, had the mortgage advisor not told me the things she did in our conversations, some in the e-mail attached I wouldn't have;
a) taken a mortgage with my ex due to her job instability, I would have budgeted myself to buy the house which at the time I was able to do.
b) wouldn't have taken the mortgage on a fixed rate at 5% (ish), the reason being we did that because everything was sealed up, we knew what we'd be doing and paying so decided on balance we'd fix the mortgage.

We talked about if they weren't able to offer us securities we wouldn't fix in for a period so that we could change if we found another lender that met our needs.

Ok so HBOS allowed me 2-3 months of nil payments to assist me during the blip but that this wasn't a payment holiday, it was something else they called it so it showed on my credit file as arrears.

So my issues now are;
a) I am unable to take my ex off the mortgage because these were registered from Feb - April 2013.
b) I paid a higher rate of fixed interest because of their dodgy advice.

I've complained and I can show you my letters which I thought explained it well to the bank but they won't budge, they've offered me £100 for the "unfortunate" advice of their agent at the time.

What annoys me is that I was 22 at the time and I read through everything to check it all out to cover myself, I questioned as much as possible to make sure I understood it, the bank misled me and yet they won't uphold my complaint.

Does this all make sense? Is there anything I can do?

Thanks muchly for all the support (I promise I don't have it in for Lloyds Banking Group......)

[orfoster]

Re: Mortgage mis-selling (HBOS)

Apart from the FOS what action can be brought against Mortgage Lenders for mis-selling?

[orfoster]

Re: Mortgage mis-selling (HBOS)

Hello,

I thought I'd post up the LBA sent to HBOS about the matter to explain the issues a little better.

I wonder if (dare I say it) MCOBS could be a possible way of recourse here.

[orfoster]

Re: Mortgage mis-selling (HBOS)

Also, just as an interest point.

Within the e-mails at #1 the advisor says the money from Shared Ownership is taken as a deposit, HBOS now say that is incorrect, in their letters they state it isn't recorded on their systems as a deposit in any way (a mute point BUT)..... take a look at this from their own SAR bundle (SAR bundle received 260+ days after submitted)....

[orfoster]

Re: Mortgage mis-selling (HBOS)

I brought a claim in respect of this and they've failed to respond at all, the claim was brought on MCOL.

Now, the claim includes them having to sort out my credit file in respect of two late payment markers.

Can I still do the Default Judgment request online to get this to happen?

[orfoster]

Re: Mortgage mis-selling (HBOS)

I think I have to make an application under Part 23 and I guess I have to draft the Order? And pay £155? Does this just need to be on a General Application Form?

Thanks

[EXC]

Re: Mortgage mis-selling (HBOS)

No idea. I'll give Amethyst a shout on this.

It would be helpful if you could post the particulars of claim though.

Are they in essence what you specified in the 'outcomes sought' in your initial complaint? ie:

1. That all adverse arrears information is removed from both Mr Foster-Burnell & Miss Dinhams’ credit file.
2. A Transfer of Ownership application is approved and underwritten (the other party is in agreement) without fee.
3. An offer of compensation is made no less than £1500 each due to the stress and damage this incorrect advice has caused.

I assume you're aware that judgments by default are not that difficult for the defendant to challenge if they can convince the judge that they have reasonable grounds for defending the claim?

[orfoster]

Re: Mortgage mis-selling (HBOS)

Yes in essence, will happily post up POCs. Except (2) because if the adverse info is gone there is no reason why I can't take my ex off the mortgage now.

Yeah I understand that, they'll almost certainly get it set aside if they want to. The thing is they acknowledged but haven't defended and I've given them extra time too I wonder if Lloyds Banking Group decided silence was their best option?

[EXC]

Re: Mortgage mis-selling (HBOS)

The thing is they acknowledged but haven't defended

Interesting.

[orfoster]

Re: Mortgage mis-selling (HBOS)

Hi EXC,

I attach the POC's in my case against Halifax.

Oli

[Amethyst]

Re: Mortgage mis-selling (HBOS)

Does anyone have the full judgment Thakker and another v Northern Rock plc [2014] EWHC 2107 (QB) (5 February 2014) ?

Also in your spreadsheet you are claiming the difference between 6.14% and the HBOS standard variable rate at ???%

What date was their defence due and have you checked with the court they havent received it?

[Amethyst]

Re: Mortgage mis-selling (HBOS)

Thakker relevant solely because of the MCOB reliance

The Appellant argued that because the MCOB rules were given effect by a statutory regime, there was no legal right to possession unless those rules had been complied with.
The Court rejected the Appellant's arguments and dismissed the appeal. Simler J noted that:

1. The argument that there was no right to possession unless the MCOB rules had been complied with was inconsistent with Section 151 (2) of the Financial Services and Markets Act 2000, which provides that a breach of a MCOB rule does not make any transaction void or unenforceable;
2. Even if the alleged breaches of the MCOB rules were proven, this would not have given rise to a defence; and
3. The MCOB rules did not seek to alter the underlying rights of the parties.

- See more at: http://www.lpc-law.co.uk/news/latest....VPTc00c5.dpuf

[EXC]

Re: Mortgage mis-selling (HBOS)

Does anyone have the full judgment Thakker and another v Northern Rock plc [2014] EWHC 2107 (QB) (5 February 2014) ?

http://www.bailii.org/ew/cases/EWHC/QB/2014/2107.html

[orfoster]

Re: Mortgage mis-selling (HBOS)

Does anyone have the full judgment Thakker and another v Northern Rock plc [2014] EWHC 2107 (QB) (5 February 2014) ?

Also in your spreadsheet you are claiming the difference between 6.14% and the HBOS standard variable rate at ???%

What date was their defence due and have you checked with the court they havent received it?

The SV rate is in the schedule, I think, I'll check but it did differ throughout the history so the amount changes depending on the period. It isn't exact though I'm sure.

Their defence was due on Friday and they've been ticking the boxes electronically and MCOL doesn't have it logged there, I'll give them a call but doesn't it mean they haven't had it yet?

[Amethyst]

Re: Mortgage mis-selling (HBOS)

http://www.bailii.org/ew/cases/EWHC/QB/2014/2107.html

Thank you, goodness knows why I couldn't find it!