SPML/LMC anyone claimed for mis selling and unfair charges?

[Crapstone]

Hi,

 

I've read this thread with great interest as I've also had problems with SPML hence the username.

 

I had a suspended repossession order in 2006 after gaining arrears and ordered to pay £50 per month as well as contractual payments. This company has tried every dirty trick in the book such as adding block insurance when I had my own, returning perfectly good cheques and taking direct debits early or not presenting them at all. Plus a few lost payments they deny receiving.

 

They served a possession notice 'accidently' even though I was ahead with payments.

 

After 2 years of waiting for a decision from the Ombudsman I have been awarded £300 compensation and a refund of all the fees applied to the account with are unpaid direct debit fees and arrears management fees.

 

In January this year I received an almost full statement on SPML headed notepaper prior to the Ombudsmans final decision 2 weeks ago. Now after requesting a full arrears breakdown I've received another full statement from Capstone that shows the £300 compensation taken off the arrears but nothing else. The accompanying letter says I will have to wait for the quarterly statement and in the meantime they will be seeking possession if I do not clear the arrears.

 

Both statements do not add up at all and it seems I owe more now on the current statement than I did before on January's statement. By that I mean throughout the time I've had the mortgage despite the fees not yet being shown as refunded.

 

For example the earlier statement says the balance for 1/1/09 was £63,178.71 but the later statement says £63,698.85 for the same day. On the earlier statement there are sporadic payments of 'Interest on Arrears Reversal' credited to the account but on their most recent statement these have been omitted.

 

Interest on Arrears is there and for some reason this has jumped from being £27.66 on 1/12/08 to £22. 83 on 1/1/09 and then up to £49.39 on 1/2/09 despite the usual payments being made.

 

The Ombudman have warned SPML they will take a dim view of any fees added to the account but that hasn't stopped them from applying a Litigation Management fees of £115 instead for the last 3 months after losing their appeal to the Ombudsman.

 

I sent off a request for a copy of the original contract and for everything they had including the contact they had with the broker that arranged the mortgage. What a surprise! They have 'lost' all the original paperwork from 2003 and can only provide statements.

 

They are a joke and I fully agree that Capstone and SPML are doing all they can to repossess their assets whatever the cost to the consumer and with total disregard to best practice or the law.

 

How is anyone that has mortgage with these muppets supposed to clear arrears, even with a court order if they insist on adding fees and interest that outweigh the extra payments? Where is the Government on this ridiculous practice when they are preaching that they will do all they can to keep people in their homes?

 

Just for the record I'm compiling yet another letter to Crapstone and if they just try the usual bull, I'm prepared to go to court to enforce the Ombudmans decision, complain to the FAS and start a fresh court case for the events that have happened since. Enough is enough.

 

Best of luck

[Crapstone]

Crapstone ...you mentioned in your post, the block building insurance...are you on it ?? i know i am. A thought has popped into my head..!!!

 

B-o-2

 

I remortgaged from Nationwide to SPML in 2003 and the broker put us on block insurance that I neither needed or wanted. It took months to sort out despite giving them more than adequate proof of my own insurance and each year it has been the same again. They charge £100 to check that your own insurance is to their standard and they have rejected some policies I've sent as being 'unreadable' when faxed by myself and the insurance company and 'lost' when sent to them by recorded delivery.

 

They then start to add their own insurance fees. In the event of trying to claim on either insurance with 2 policies running I'd imagine it would be a nightmare to get either of them to pay anything other than to the mortgage company.

 

I'm not trying to hijack the thread but hopefully just sharing my experience with these idiots. My last post was just to say what I had been through so far with them and to let everyone know they are not on their own.

 

I have some legal and economics experience, (I wished I'd had them when I took out the mortgage!) and have managed to battle my way through on my own and I know where I am going to from here, although their statements have given me a major headache trying to work through them.

 

In my case, SPML/Capstone refused to provide a list of fees to the Ombudsman and as a result they couldn't rule that they were fair or unfair. By refusing and not providing the tarriff of charges the Ombudsman ruled that SPML had not justified them and so were unfair.

 

Also, it was found that SMPL had agreed to the courts decision that £50 would be paid on top of usual payments to clear the arrears. By adding fees they had breached that and shouldn't have agreed to the £50 payment if they knew it wouldn't all go towards the arrears but instead would be swallowed up 'extras'. In other words they had the opportunity to say how much would be needed to reduce the arrears in court but they didn't and agreed to an amount they knew wouldn't touch them and lead me more into debt with them.

 

Hopefully that makes sense. Like other people reading this I tried to seek legal advice in the beginning but didn't find anyone that knew enough about sub-prime mortgages and how they work. It was just a fob off that you have to tow their line as you signed the contract and are at their mercy.

 

So I have to chuckle at the regular consumer advice to approach your lender and ask for this and that.... Say this in court and say that... They have no idea what is going on and the Judges are just that -Judges-. Judges are not economic experts and just want to go home after dealing with us 'silly' people that have signed up for a lifetime of misery but it's far easier to forget the other side of the arguement and use the rubber stamp in favour of Goliath.

 

Rant over.

 

I'm more than happy to respond off-board regarding the Ombusmans decision in full and all my points of contact so far.

 

Best regards,

Crapstone.

[Crapstone]

I would say if you have any points of contention on an account with SPML or their associates to follow up the complaints process and then go the Ombudsman even if you think it's a minor complaint that hasn't been put right.

 

Whilst the account is in dispute it makes it very difficult for them to take you to court for repossession even if you already have one suspended. And as it's taken me 2 years to get a final decision from the Ombudsman it's obviously a lengthy process.

 

Without saying very much that should speak for itself. Time.

[Crapstone]

Agatha C.r

 

You should have had some notice and it seems your husband has to take some of the blame for keeping it from you for so long and not contacting them. I was 'kept in the dark' but eventually I did see a letter and took action to fight them despite my partners 'head in the sand' attitude.

 

Purely my own fault, I signed the contract and had a duty to make sure it was paid and made the assumption that it was. You too need to take some of the blame as you are well enough to post her and complain.

 

However if your post is being concealed that is illegal as you should have had notice prior to being evicted and ample chance to put your case to the mortgage company or the court if you have an interest in the property and a pretty good case to stay if you have severe illness.

 

Your first step should be to get all the concealed letters from your husband and then do an SAR or perhaps report him to the police. One of the last letters sent is open to any occupiers of the property and that's how I found out. All other mail had been redirected to another property . You need to get hold of a copy of the legal paper as it's not a 1 step automatic hearing before being evicted.

 

You list a whole lot of health problems and 'missing paint' . They do have a duty of care to sell your house but you haven't given the arrears or fees charged or the value of your house. Your case doesn't ring true for some reason.

[Crapstone]

Same thing here. Never seen a copy of anything that has an SPML signiture on and haven't managed to get a copy of the original contract either since it was sent to the solictors acting for both parties.

 

I remember having to get a witness to co-sign the document, and it didn't have to a professional, but there was no provision for SPML to sign as it was just the names of the joint lenders and a line for the witness.

[Crapstone]

Hi Crapstone,

 

your solicitor was acting for BOTH parties which means that they were still acting for you. Your solicitor would have (or should have) sent you a copy of the contract prior to your signing the deed.

 

As the solicitor was acting for you too and as you did pay the solicitor - you can write to your solicitor to get a copy of the contract. Solicitors must keep their files for at least 6 years (by law) and so it will still be on their files (assuming your mortgage is less than 6 years old). In fact, you can write to the solicitor and just ask for them to send you YOUR FILE which you have paid for - its YOURS - and its YOUR RIGHT to have it.

 

BTW: Anyone over the age of 18 can witness the signatures on a deed.

 

My mortgage dates back to 2003 and is pre FSA and subject to the old rules, which in my opinion were clearer but are disregarded although they should still have a place.

 

The solicitor was appointed by them and no contact was made other than sending back a 'witnessed document'. All costs were added to the mortgage and I've already tried getting the file from them. As far as they are concerned it is closed, the mortgage company doesn't have the contract and the advisor won't answer any letter sent even though I have tracked them down to new offices.

 

I can only recall ever signing 3 documents. One was with the so called IFA to act on my behalf, the second was a mortgage offer (after receiving a few that I rejected it was the 4th one sent) and the last document having to be witnessed.

 

I'm digging through my files and looking at all the copies I have and so far something doesn't seem quite right.

[Crapstone]

Sorry if I am in the wrong section. Quick question if I have a credit card to pay SPML can they refuse to take it because "it is a form of credit"

 

In what context? They may be doing you a favour by not accepting a monthly payment or arrears by credit card. AKAIK they cannot refuse payment in any form as long as it doesn't infringe on their contactual interest in the property.

[Crapstone]

If anyone has a mortgage account managed by Capstone then please check that they have called for the correct payment for 1st April.

 

I received a letter a few weeks ago listing revised payments for April, May and June. The Direct Debit for today should have been £329.12 + £50 payment towards arrears making a total of £379.12.

 

I've just checked with my bank and Capstone have tried to take £470.67!

 

A call to Capstone was an utter waste of time as they claim their computers are down and I should call back after 11'oclock. The numpty on the end of the phone said there was nothing they could do even if the amount was a mistake.

 

So basically I have to put money in the bank before 12'oclock to cover their 'error' or risk having them mark a missed payment or face more charges for going overdrawn with my bank. Is this their idea of an April Fools joke as I can't see the funny side of it.

 

At least it's yet more evidence of just how inept they are.

Edited April 1, 2009 by Crapstone
incorrect figure added

[Crapstone]

I've just spoken to Capstone again and THEY say they have no record of the letter they sent! That must mean the letter I have in front of dated 9th March is either a fake or it's just an hallucination on my part.

They wouldn't pass me on to a senior advisor and basically told me it wasn't their fault and I'd have to make a written complaint. As you can imagine, I'm not a happy bunny.

 

I have used transfers previously as well as cheques. Every month they kept threatening me that the contract states that I HAVE to pay by DD along with the relevent charges for failed DD when they still kept trying to take it.

 

[Crapstone]

And finally...

 

I called them again and was told it was a letter that was standard and was sent to everyone. So we all must be paying the same payments then LOL. The next excuse was that I'd come to the end of my fixed period, excuse me but that finished years ago.

 

I faxed a copy over to them and they FINALLY admitted they had made a mistake. It's taken 5 calls, over an hour on the phone and 2 faxes to sort out what should have been obvious. The correct amount was attempted to be taken but for some reason the amount on new payment schedule was wrong. So much for the 14 day advance notice of payment change.

 

So I'll be composing yet another complaint letter to these morons and sitting down to a relaxing couple of glasses (bottles!) of wine as I think I deserve it.

[Crapstone]

I'll put my main points on a new thread regarding Mr Malek and SPML but I'd like to ask anyone that has a mortgage with them if they have have had a letter from Capstone dated March 2nd 2009 regarding a review of,

 

'administrative errors which have affected your account'.

 

I'll follow this up on another thread...

[Crapstone]

I posted late last night after getting back from holiday and was too tired to add a thread:(. So I'll just reply here for now.

 

I questioned Mr Malek why the Interest on Arrears Reversals had vanished from the new copies of my mortgage statement, adding several hundreds of £'s on the balance. His reply was that I should have received a letter dated 2nd March, of which he encloses a copy.

 

The copy has no Capstone heading and reads as follows:

 

2nd March 2009

 

Dear xxxxxxxxx

 

Mortgage Account

 

Following a recent review of customer accounts, we have identified administrative errors which have affected your account and the account statement information you have received.

 

We have now rectified these administrative errors and the balance on your account has been corrected. As confirmation of this you will see an adjustment to the interest on your account balance in your next statement.

 

The current status of your mortgage account is noted below:

 

Account Balance at 1/3/2009 xxxxxxxx

Arrears balance at 1/3/2009 xxxxxx

Debit Adjustment Applied xxxx

 

A new quarterly statement is being prepared and will be issued shortly.

 

Please note that as a result of sending you the revised statement future statements will be sent to you quarterly from march 2009.

 

Please accept our sincere apologies for this error and should you wish to discuss the content of this letter please contact our Collections Department.

 

................

 

I know for a fact they didn't send the letter originally and it's interesting that they don't specify what the 'administrative errors' were in the first place. It also means that when they took me to court the arrears and oustanding balance were incorrect by £375.00

 

In my latest response from Capstone they are refusing to refund the £115 Arrears Litigation Fees that they keep applying since having to refund Arrears Management Fees and unpaid direct debit fees. They didn't start applying them until the Ombudsmans final decision so it looks like I'll have to fire off another complaint to the Ombudman and start all over again.

[Crapstone]

I can't help thinking this securitisation issue is leading to nowhere other than a minor issue that doesn't impede on the performance of the contract or its legality.

 

I've found a clause that you should be given notice but all you could reasonably expect is compensation for not being notified of such sale but the right is still reserved by such company to use the intermediary to act for them.

 

Realistically what will it achieve? Just a quick amendent on the Land Registry and a few letters to still get you out of your home. Either way they have more money than us and Ok it's more to lose, but it's floating money and not roof tiles over families struggling to make ends meet whilst they live in ivory towers.

 

Arrears are arrears and if we have breached contracts we have to face that.

 

We have to start from the beginning and start taking apart what, if any, contracts we ever had and if they were mis-sold. Would we have ever taken out such mortgages had we have been fully informed of the consequences? Were we given all the information needed for a 25 year contract possibly going beyond retirement age?

 

I for one wouldn't have. A dodgy broker who insisted on staying after midnight even after my child was ill. Of course he was friendly and gained some trust but financially he lied and filed paperwork to SPML for his gain. When confronted he became a pretty nasty character and left me in a right mess.

 

Since then all I've been provided with is a 'mortgage offer' as a contract and that's what they provided in court when I had a suspended repossession. Nothing is signed by them and my original mortgage was taken out in 2003.

[Crapstone]

I cut that short , sorry.

 

But we really need to have a compare and contrast on how we have been treated, and what SPML/Capstone have failed to do under their legal obligations.

 

If anyone can stomach it then a bullet point thread would be good just for Capstone/SPML .

 

Just list complaints in brief ( difficult I know) since you first had dealings with them.

 

I know it's a lot to ask but without all acting together we will not get anywhere. If anyone needs any help just PM me and I'll get back to you as soon as I can.

[Crapstone]

Calm down IEI,

 

You are skipping and not reading properly in all your excitement!

 

Take a look at:

http://db.riskwaters.com.

 

Search under SMPL and it has whole history of sub-prime, securitisation and posts from some of their top dogs (A Day in The Life). It's a mine of information and warnings that the sub-prime market was going to go **** up were issued years ago.

 

I'm currently looking at why I was charged for Title Insurance (£150) when it says it was optional on the mortgage offer and I haven't had a single document from them that mentions anything about it, who it's with and what cover it provided. I fully understand how it works but when I'm paying for it I expect to have been informed.

 

I've had yet another statement sent today so they must be on steroids.

[Crapstone]

Hi everyone,

 

I'm not sure if anyone else has mentioned this on CAG yet but I'll post it anyway.

 

Shelter (the housing aid folks) have a legal website aimed mainly at debt advisors and is is usually subscription only. BUT they have a free 10 day trial on it. You don't have to be a company and you don't have to give any payment details. They ask for a password, username, email account and your name/address but you can get started without having to check your email.

 

Shelter Legal England - Home

 

It has lots of information all in one place about repossessions, case law, codes of conduct as well as legal obligations from lenders. It's got loads of links to relevant sections of law, the Mortgage Code and the FSA handbook.

 

It covers most legal subjects, not just housing or repossessions. As a suggestion I think it's better that CAGgers don't all rush to try it out. Stagger the applications otherwise once the 10 day trial has ended we won't have anyone left that is still able to look at it unless they have paid. From what I've found it's access all areas and you can download from it unlike the usual limited access you have on trials on other sites.

I only found it a few hours ago but so far it's been very useful.

[/url]

[Crapstone]

Out of interest did anyone use SPMLs' own solicitors on a remortgage and what company did they use? Has anyone yet managed to get a true copy of their application?

 

I'm still trying to work out if my mortgage was securitised or not but I have a statement that shows 2 different changes of interest rate on the same day 1/9/04. One is 8.4% but then shows 8.9% under the LIBOR rate. Which one is correct as the product margin was 3.75%? From their own terms they will not change the interest rate more often than once per month.

 

Their valuation report gives £83,000 for rebuilding insurance but they have only ever asked for £76,000, which I have always complied with and when they have applied their own unwanted and uneeded block insurance the sum was the same. The same is true that they listed under special conditions of the mortgage offer:Solicitor to provide a standard form Certificate of Comprehensive Buildings Insurance confirming that satisfactory cover for the Initial Buildings Insurance Amount of not less than £76,000, being the reinstatement value stated in the Mortgage Report and Valuation, is in place completion and that the Lender's interest is noted.

 

 

 

When they took me to court they only provided one side of the mortgage deed I signed and not the other which states:

 

NOTE: Receipt not to be used for registered charges.

 

The lender acknowledges receipt in full of the Mortgage Debt.

 

Executed as a deed this....day of...

 

Executed as a DEED by

SOUTHERN PACIFIC MORTGAGES )

in the presence of. )

 

I only know this because I've just found a blank copy that they sent before I filled in the original.

[Crapstone]

Hi all,

 

Just had SAR back from Capstones minus anything to do with securitisation. The SAR was signed and requested for by both mortgage holders yet they have only addressed it my OH and have blacked out all my details!

 

They will not provide MIRAS details as they do not hold any relation to the loan. They will also not pride any agreements between lender/broker/packager as it's not considered data relating to the account holders!

 

Although there is a reference to SPSH First charges in 2007 and this changes to Mortgage Funding 2008-1 BL in 2008.

 

Despite Capstone always denying that they had been sent a payment in 2007, it is clearly listed on their computer log that they received an 'unsigned' cheque. From their own records of letters sent they have never returned it as I would have expected them to should that have been the case. Looks like someone has been telling porkies and trying to put the blame on us for failing to pay.

[Crapstone]

Give me a sec Truro and I'll flick through my mortgage offer.

[Crapstone]

Can't find that clause.. but mine is SPML 2002

[Crapstone]

When they applied for repossession against us we came to an agreement before the court date. We applied to have the date changed as we wouldn't be able to attend, the amount was disputed and it wouldn't give us enough time to prepare a defence due to SPML dragging their feet and reluctance in providing info. All the legal advice we had said 'not to worry about it and it was a good outcome as we had kept our house', prior to that is was, 'they will get a SR so just make an offer'.

 

The court didn't reply and the hearing went ahead without us but it was suspended +£50. Problem is we can't recall receiving anything from the courts to say that, only letters from SPML telling us what we had been ordered to pay by the court. I asked Capstone a while ago for a copy of the Court Order when I contested their ridiculous fees and they said they didn't have one.

 

At the time we had something else going through the courts and through all the stress I've mixed a few things up in my head. I was sure we went to a hearing but my OH and the paperwork we have shows it was for something entirely different.

 

I realise now that we haven't seen the order or what terms are on it and all I know is that we have to pay £50. We were 'accidently' sent an eviction notice but all that shows it alleged non-compliance with the suspended repo and not the terms.

 

Someone please kick me! I have copies of their claim and the figures on it are way out as we were ahead on payments because they took block insurance payments by DD even though we had our own and they were refunded against the balance owed and not off future payments.

 

Is it just me or are all the free legal places, CAB, National Debtline, etc..just opting for the easy life and telling people not to defend and just make an offer. They boil it down to you either owe the debt or you don't and anything inbetween is just too complex or too time consuming to bother with. Don't get me wrong, they serve a purpose but only when an issue is black and white.

 

Kick me again for good measure just to make sure I get my behind into gear and make a request to the court for a copy of the SR order and anything they have on the case.

 

Luckily we can afford the payments but it doesn't stop Capstone inventing arrears, losing payments and making more mistakes than your average MP followed shortly by letters threatening eviction, more fees and just sheer rudeness and ignorance.

 

Like everyone else here, you initially think it's all your fault until you find out that they have burnt the rulebook and from day 1 their intention was to take your house or force you to sell and pay their extortionate fees.

 

Scedminc provided a link to a mortgage calculator with a 14 day trial. I've been using it and it's awkward at first (as anything new is) but I've got the hang of it now. It's time consuming and you have to remember to put each date on the statement exactly as it's easy to forget and just put them under the 1st of the month which throws the interest rate out.

Mortgage Audit Software - Home Loan Interest Manager

 

 

Good luck everyone and keep digging for info.

 

CS

[Crapstone]

EIE Don't forget they can argue that the 3 month fixed LIBOR protects you and although the rate could have dipped it could have also risen in between. But they do round it up or down when it suits them without anything in the offer or terms to say they can.

 

I'm still using the mortgage calculator on my LATEST statement which shows they have added things on twice but only refunded one and have yet to get to the juicy bit were they say they have refunded evreything including interest. So far it adds up with a minor £1.88 difference in their favour but that's only pg. 3. It's slow going..

 

One line of attack could be just how 'sub-prime you were and was the interest rate justified? One CCJ and a couple of defaults shouldn't exclude you from the whole of market or warrant a rate of 8. + above LIBOR. Another point is that it could be argued that you were under duress by other creditors to do something to pay them hence a remortgage at extortionate rates and your trust of the broker/packager/lender.

 

Who in their 'right' mind would have played into SPMLs' hands if they weren't under severe stress to do something at that time? You don't wake up and think, 'OK. I'm on a 5% mortgage and I'm bored of it so I'll change to a lender that will charge me 10% instead and I'll do it today'.

 

The LTV was minimal, usually underestimated, leaving not much in the kitty for extravagance, but probably just enough to keep the wolves at bay but pay for it long term and don't we know it! Frying pan and fire comes to mind.

 

Hindsight is an exact science once your head clears.

 

CS

[Crapstone]

After going through my SAR, again slow because , 'I don't want to miss a thing'...sorry Aerosmith moment but I should be allowed that as I've had numbers swimming before my eyes and a kitchen full of water ( different thread).

 

It's good to see that the numpties haven't logged all of the calls made to them and have just selected a few. In one day I called them 4 times and faxed them but there is no record of that and on paper it seems that they resolved it on the first call. It's also full of B1 (borrower 1) or Mr XXXX who called them but 'wouldn't comply with DPA to say who they were.' In that case how do they know it was B1 or Mr XXXX enough to log it on the computer under that name or title as being them and make notes of the conversation and act on it? Isn't that a contradiction?

 

Mr Malek will have a very nice letter landing on his desk in the morning, let's see him wriggle out of the facts placed before him in black and white from his own records.

[Crapstone]

This ar*e is well and truly geared up for a fight.

 

I could perhaps also invoke their clause that they have the right to put the property in good repair, they have the the right to be informed of any insurance claim and any money received is money is held in trust or perhaps throw a spanner in the works when the name of the 'mortgagee' that should be named on the insurance isn't and they still validated it.

 

We've sprung a leak and need to inform our insurance company so we could also raise an issue of title with numpties and what claim they could possibly have when the previous docs. have given the name of a different mortgagee to be noted.

 

Obviously we consider it's our legal and moral obligation to contact the interested party, as mortgagee, directly to advise them of the above mentioned insurance claim and will require all of the contact details to keep them fully abreast of the situation and to preserve their ASSet.

[Crapstone]

You should have also received a copy of the Mortgage and Lending Conditions at the same time as the offer. I didn't get one with the offer I sent back to them. I had one with a previous offer that was rejected ( so no need to keep or read the conditions) and lapsed but not with subsequent amended offers or the one that was signed some months later.

 

I have have a 2002 copy but the Scottish part says it was witnessed 14/03/97 by William E Cherry and S G Aitken who are named as directors so it doesn't seem to have been reviewed since then.