West Bromwich Building Society Tracker Margins Legal Action

Reply to the comment left by "Mark Landlord" at "08/10/2013 - 16:17":

I emailed him earlier too

Ive sent my £10 and request for data

Before I leave work tonight Im going to cut and paste a few of todays threads. There seems to have been loads today but I think a lot of people check the site later in the evening

I agree with Common Man we need as much support as possible so if others can contact MPs , PM . Chancellor, papers, TV and radio it all adds to the pressure that can be exerted on WB.

In addition writing to WB requesting detail of the mortgage they sold , then writting back asking for a full written explaination and not being fobbed off with bits of letters and photocopied leaflets , plus the data protection requests will all add to their work load. When the indians get restless they will let their feelings known to the chiefs . The more pressure we can put on their Complaints department the more staff will be missing through stress. That will get passed up the line until it hits the powers that be.

I dont expect that the decision to increase the rates was unanimous . If we can get some in fighting in the board room who knows ?

Reply to the comment left by " " at "08/10/2013 - 16:38":

we received a cursory response today to our first letter of complaint enclosing just a photocopy of the information booklet and nothing else, suggesting we call their 0845 number so how about:

SECOND COMPLAINT

Dear Ms Holloway

Mortgage Account Number:#

We acknowledge receipt of your response to our letter of September 25th.
However we do not consider it to be a satisfactory response at all and would like to ask why you have not responded fully to the points we raise and to the requests we made.

We have no desire to speak with anyone on an 0845 number but would ask that you
re-read our letter, a second copy of which we enclose for your convenience, giving it your full attention so that you give us please a full written response.
Your responses are required as a vital part of our evidence when we pass on all of our WBBS documentation to the Action Group

We await your considered and complete response.

Yours faithfully

Reply to the comment left by "Annette Stone" at "08/10/2013 - 16:08":

I'd be happy to do interviews with TV, radio, websites, newpapers, magazines etc. if people would like to give out my contact details. Please note that I'm taking a short holiday out of the Country on Thursday this week though, back in the office next Tuesday.

I have another short break booked 24th to 28th Oct.
.

Reply to the comment left by "Denise Doms" at "08/10/2013 - 16:24":

I'd just do the one in your joint names Denise, same impact, same information, only one fee to pay 🙂

I hear what Neil Patterson has said but I would still send the £10 immediately as they then have no excuses.
.

Reply to the comment left by "Denise Doms" at "08/10/2013 - 16:41":

Good second letter Denise 🙂
.

From the Reuters Website .....

Link >>> http://www.reuters.com/article/2013/10/08/fitch-no-rating-actions-expected-on-hawt-idUSFit67127620131008

No rating actions expected on Hawthorn buy to let rmbs following West Brom margin hike

Oct 8 (Reuters) - (The following statement was released by the rating agency)

Fitch Ratings says that West Bromwich Building Society's (WBBS) planned 2% margin increase on 6,700 of its buy-to-let (BTL) tracker products due to occur on 1 December 2013, is not expected to warrant any rating actions on RMBS transactions backed by WBBS originated loans.

Fitch currently rates three WBBS-originated RMBS; Kenrick No. 1 plc and Kenrick No. 2 plc, both of which comprise 100% prime owner-occupied loans and Hawthorn Finance Limited Series 2008-A (Hawthorn), which comprises 100% BTL tracker mortgages. Hawthorn is the only transaction of the three which is affected by the margin increase.

The agency understands that approximately 41% of the current Hawthorn portfolio (94% of which are interest only mortgages) will be impacted by the margin rise. In line with the existing portfolio distribution, the majority of the affected borrowers are currently paying rates of either 1.49% (63%) or 1.09% (19%). The remaining borrowers currently pay various rates, but no more than 2.49%.The margin hike will therefore increase the portfolio's current weighted average (WA) margin over BBR to 1.8% from 0.98%, which is equivalent to a subsequent WA interest rate of 2.3%.

The increase in interest rates will impact the Hawthorn transaction in a few ways.

First off, given both assets and liabilities pay BBR-linked rates, there is no interest rate swap in the structure. The immediate effect of the hike is therefore an expected increase in revenue, which would translate into an approximate uplift in available excess spread of up to 80bps per annum of the collateral balance, providing the issuer with additional cushion to cover losses.

Secondly, while the prevailing low level of interest rates paid by borrowers has likely been a strong driver for the robust performance seen since transaction close (three months plus arrears stood at 36bps of the outstanding pool as of August 2013), a rise in payable interest rates would double the average monthly payment of these borrowers, equivalent to an approximate rise of GBP180. Hence, this will likely result in some borrowers struggling to meet these higher payments.

Fitch understands that WBBS's underwriting guidelines incorporate an affordability assessment based on stressed interest rates of 6%. An approximation of the interest coverage ratio (ICR) using the gross rental income at loan origination pre and post the margin hike suggests that the WA coverage ratio for the Hawthorne portfolio could decrease to half of the current 4.5 figure, if all loans were affected. However, considering the market average rental yield of about 6%, the agency expects that there would be sufficient cushion for the majority of borrowers to absorb the additional margin. Nonetheless, this could leave borrowers more vulnerable to future interest rate shocks.

Finally, while in some instances an increase in rates might encourage borrowers to refinance elsewhere, Fitch does not believe prepayment rates will be materially affected in this situation. While the portfolio is relatively seasoned, this also means that 85% of the mortgages were originated during the peak of the market in 2007. Hence, the agency would not necessarily expect prepayments to increase significantly, particularly given that the increased rate of up to 3% over BBR remains fairly comparable with current market rates.

Overall, the net effect of the rate hike is expected to be neutral, which would not warrant rating actions on this transaction, particularly in consideration of available credit support (21%) for the rated class A notes.
.

Have sent off my documentation and £240 today.

Suggested letter by mark to WB re data protection for all those that missed the earlier posting.

How about this …..

Dear Sir or Madam

Subject access request

[RE: Your WBBS account number(s) here]

Please supply the information you hold about me which I am entitled to under the Data Protection Act 1998 relating to all dealings connected with my mortgage with you and all of your associated dealings with external agencies in respect of my above mortgage account numbers(s). For the avoidance of any doubt this is to include any information relating to me kept on computer or in a structured manual filing system or intended for such a system.

I have enclosed my cheque for £10 which, I understand to be the amount I am required to pay to you by law for a data access request. If you need any more information from me please let me know as soon as possible.

It may be helpful for you to know that a request for information under the Data Protection Act 1998 should be responded to within 40 days.

If you do not normally deal with these requests, please pass this letter to your Data Protection Officer. If you need advice on dealing with this request, the Information Commissioner’s Office can assist you and can be contacted on 0303 123 1113 or at http://www.ico.org.uk

Yours faithfully
[Signature]
.
Mark Alexander recently posted…Financial Advice – how do you pick an adviser?

Apologies for keep bringing this up but I think that not only is a Legal action required against West Brom but as much publicity needs to be sort to create as much negativity against WB as possible.

I have emailed Money Box just now link is
http://www.bbc.co.uk/radio4/features/money-box/contact/

Be careful you have a maximum 1000 characters

earlier I emailed watch dog watchdog@bbc.co.uk

Ive emailed every credible paper I can find ,I have just received a reply from Peter Cunliffe at the Daily Express. He as passed it onto Maisha Frost for the Crusader Consumer Column

Ive also just emailed Martin Lewis on the money saving expert website
http://www.moneysavingexpert.com/faqs/I-have-a-money-related-news-story/

In addition I am attaching the MP list again. I think if everyone emailed or wrote to their MP they would have to put some pressure on West Brom. It might not be the total answer but it has to weaken them some

http://www.parliament.uk/mps-lords-and-offices/mps/#nav-W

Mark can I suggest you respond to the comments on the Reuters website in person. What they have said may seem reasonable but they have clearly not heard how this rise has been received or that it is clearly not provided for in the mortgage offers. Reuters are likely to give you a hearing. Also, if anyone has a twitter account for Stephanie Flanders, late of Newsnight. I am afraid I do not twitter (owing to old age and technophobia) but she left the BBC because she wanted an independent "voice".