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Home Loans Unit Frequently Asked Questions

New Loan Availability - "Does the Council still grant loans for property purchase?"

The Council no longer has powers to grant loans for property purchase. You would need to seek assistance for this from a bank, building society or another finance source.

The Council's mortgage interest rates - "Why does the Council’s interest rate differ from private lending source rates?"

Council loan interest rates are determined by Government legislation and do not always reflect the same rates as the banks, building societies or other financial institutions.

Property Boundary Disputes - "I have a boundary dispute with a neighbour and need to know the exact area of land that my property occupies and who is responsible for the boundary fences on either side."

Land and property is either registered at HM Land Registry, or is unregistered.  Title documents held by the Council will indicate whether or not your property is registered.

Registered land plans show an approximate boundary outline, but do not usually give precise measurements and in most cases there is no indication of fence boundary responsibility.

Unregistered land also has little or no information on this.

To ascertain this information precisely, an inspection of the land is necessary to discover rights of way, etc.  This would need to be carried out by an independent surveyor, at your own expense.

However, copies of the Council held Title documents can be requested in writing at a cost of £15.00 per request. See our contacts page for details of how to get in touch.

Change of name/s on property Title - "What is the procedure for a change of name(s) to the mortgage/property due to a divorce, recently deceased mortgagor, or a mortgagor wishing to give up Title?"

Write to the Council giving brief details and reasons for the required name/s change. You will then be sent an application form together with our requirements.

In the unfortunate event of a borrower’s demise, a copy of the relevant Death Certificate should be sent in correspondence, and the procedure to amend the records will be advised.

Mortgage Protection Insurance - "Are my loan repayments covered by a mortgage protection insurance policy for instances of death, accident, sickness, redundancy and unemployment?"

A mortgage protection policy was not insisted upon when the loan was granted, so there would be no cover unless it was taken out by individual borrowers.  In this respect, the Council would probably have no knowledge of a policy in existence.

Making repayments during financial hardship - "What if the monthly repayments can not be made due to adverse circumstances?"

If, for the foreseeable future and for any reason, repayments can not be met fully, or only in part, you should let the Council know the reason why as soon as possible.

An arrangement can be considered in cases of financial hardship and difficult circumstances. The Council may be able to provide certain advice and quickly supply necessary information for agencies such as the Department of Works & Pensions.

Each case will be treated in the strictest confidence and the Council will attempt to assist as much as possible those who are in genuine difficulty in making their repayments.

Early redemption of loan - "Is any discount given for early loan redemption?"

No.  Mortgage interest is charged on a monthly basis.  One months' written notice to redeem is required, so there is no advance prepayment to rebate.

The full outstanding loan balance is repayable together with one to three months’ interest that will be charged (dependant upon your Legal Charge agreement).

A small charge is also made for redemption administration and, in cases of registered land, the discharge of the Council's loan at H M Land Registry.

Title documents not received after redemption - "The Council’s loan was fully repaid some time ago, but I have not received the Deeds to my property. Why?"

In cases of registered land and property, it takes approximately four to six weeks for you to receive your Title Information documents (generally known as Deeds).

These will be sent to you direct from H M Land Registry, once the Council’s charge has been fully repaid.  If not, your enquiry should be made with the appropriate Land Registry office that administers your property area.

Details of address and telephone number to that office would have been supplied in the letter sent to you by this Council confirming receipt of your final payment.

If your land and property is Unregistered, you will not receive any documents from H M Land Registry.  Instead, you will receive from the Council within four weeks of full repayment the original Legal Charge duly sealed, discharging your loan.

Loan balance, buildings insurance cover, current monthly repayment -

"How much is outstanding on my loan? What is my current insurance cover under the Council’s block policy? What is my current monthly repayment amount? What should I do if my account is in arrears?"

All the answers to these sorts of questions need to be addressed on an individual basis, so please contact us