Current Account Mortgage shenanigans?

Discussion in 'Finance, Property, Law' started by Litotes, Sep 9, 2009.

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  1. Help.... I'm fishing....

    I have a current account mortgage which has done me proud over the last ten years. Everything has run well for that period but, just when I think I might need it, I have had a telephone call to discuss my "overdraft facility".

    We started well, as the lady was not impressed that I refused to go through the security protocols:

    She: Can I just take you through the security process?
    Me: You can, but you rang me on my home number and that makes me disinclined to answer any security questions. How do I know who you are?
    She: Well, I am from **** Bank.
    Me: And I am the Prime Minister.
    She: Pardon?
    Me: It's going to be a long day, isn't it?
    She: Pardon?...

    From what she said, after we agreed not to discuss my account because "neither of us have established our credentials to the other's satisfaction" (my words...), I reckon that the bank wants to reduce my overdraft facility by a substantial sum.

    Has anyone else had "problems" with their current account mortgage?

  2. What you have to be careful of is that, depending on the lender and product you are on, anything on the 'overdraft' side is an unsecured loan. The mortgage is a secured loan.

    It's therefore in the lenders interest ( but not usually yours ) to securitise this by offering an increased mortgage to clear the unsecured part of their lending.

    The end result is a hell of a lot better looking on their balance sheets, and they have the added security of being able to scoop your house for the whole debt if you run off ( not likely I hope! ).

    IF this is what they are aiming at, and I know it has been pushed by some lenders, then be very wary.
  3. I hadn't seen that, so thank you very much. That makes sense of the approach from my bank!

    Wait Out!

  4. excellent!! LOL
  5. Grownup_Rafbrat

    Grownup_Rafbrat LE Book Reviewer Good Egg (charities)

    I love these conversations at the moment. I keep getting calls for my landlord from BT, British Gas, etc., which I assume are them trying to get his custom back (largely because they say they want his custom back).

    They usually go

    Me: 'Hello'
    Them: 'Is that Mrs S?'
    Me: 'No'
    Them: 'Is Mrs S there?'
    Me: 'She doesn't live here.'
    Them: 'Do you have her contact details?'
    Me: 'Yes'
    Them: 'Yes?'
    Me: 'Oh, do you want them?'
    Them: 'Yes please.'
    Me: 'Well I can't let you have any information due to the Data Protection Act. I can pass on a message and get her to contact you if you like.'
    Them. Stunned Silence.
    Them: 'Well I'm xxx from BT/BG/Power COmpany/Insulation Company and I'd like to talk to them about ....'
    Me: 'Could you give me a contact number to pass on?'
    Them: 'Well, no. It's an outbound call centre.'
    Me: 'Well, I think that means this call has to end, then.'
    Them. If they last that long. 'Yes I suppose so.'

    Causes me hours of entertainment, and makes up for the cr@p I got from TV Licensing yesterday when I tried to be helpful!
  6. Thank you for the advice, everyone.

    I rang them on Friday, and when I was told that they wanted to review my overdraft facility, I told them that I was thnking of doubling it because I was planning to build an extension.

    It all went quiet and I now have the number of the Account Mgmt Team.

    I wonder...