Reports today suggest that many home owners are falling for an elaborate scam by Nationwide Building Society to steal their house.
The Nationwide, the first mortgage provider to offer a 125% mortgage in the current climate, are hoping to rapidly build their portfolio of family homes over the next 12 months.
The scam is professionally done, with everything appearing much like a legitimate mortgage offer, until you look at the fine print, as discovered by customer Terry Corbet.
“I was all ready to sign when I noticed that they were actually getting me to sign for an amount much bigger than my house is worth.”
“I’m glad I read it, as I could have sold the house next week, put it all towards my mortgage and still owed them fifty grand.”
“It’s very sneaky, they have somehow managed to convince me that this is in our best interests.”
“And at first glance, having a load of extra money definitely seems in my best interests.”
“What they don’t say up front is that they actually want your house.”
Nationwide have moved quickly to dispel fears that they are preying on the more vulnerable home owners in the market, those in negative equity.
“Not at all,” said Chief Executive Graham Beale.
“We’re doing them a favour, if you think about it.”
“If you’re going to lose your house, would you rather lose it to someone who gave you 75% of its value, or someone who gave you 125% so at least you had the money to throw a nice ‘moving away’ party, eh?”
The move is expected to draw a competitive response from other High Street lenders as battle commences for ownership of the nation’s homes.