As an authorised agent of the Legal Quest Mortgage Securitisation Claim - MSC, we are on hand to offer support and guidance to UK homeowners, who, may be eligible to dispute the validity of their mortgage.
Following 11 years extensive research, Legal Quest have uncovered some glaring errors within the banking sector in relation to how mortgages are packaged and sold under a process called Mortgage Securitisation. They believe that 8 out of 10 UK mortgages may no longer be valid. Could yours be one of them?
Do you have a current UK Mortgage? You may be eligible to clear your existing mortgage balance. If Legal Quest are successful then you would owe them 24% inc VAT of the benefit on a No Win No Fee basis. Take the Legal Quest Mortgage Challenge today to find out if you are eligible for a Mortgage Securitisation Claim (MSC).
The Legal Quest Mortgage Challenge is a 3 to 4 month process which will determine whether your mortgage has been sold on to a third party. By carrying out a Data Subject Access Request and reviewing the documentation provided, Legal Quest will issue you with a Legal Opinion based on their findings to advise if you may be eligible to submit a Mortgage Securitisation Claim – MSC against your lender.
If you are eligible, you will be invited to join their Class Action Lawsuit on a No Win No Fee Basis.
Mortgage Securitisation is a complicated process, where the banks and building societies bundle up hundreds, sometimes thousands, of mortgages and sell them on to third party investors.
If your mortgage has been sold then your financial obligation to your lender will have been paid off in full, usually including a profit, by the investors. Once your lender sells your mortgage they remove the mortgage liability from their balance sheet, which means your contractual obligation has been settled.
You will not be aware of any of this and you continue to pay your mortgage repayments through your original lender, who simply acts as a collection agent for the investors.
If your mortgage has been securitised then your bank will have been paid in full, usually plus a profit, by the third-party investors. When they remove your liability from their balance sheet, your contractual obligation is settled.
The major error occurs by them not completing the paperwork properly. In order for the sale to be executed correctly three things should happen:
Consent from you, the borrower-The banks and building societies get around this by ‘hiding’ it within the terms and conditions. Legal Quest are yet to find a mortgage agreement that doesn’t contain both; a Power of Attorney (giving the banks the rights to execute documents on your behalf, usually without you), and the Rights to Sell, Transfer or Assign the mortgage, again usually without even telling you.
A new contract between you and the third party- If the lender sells your mortgage, a new contract should be executed, which ties you to the new person who they have sold the mortgage on to. Legal Quest have good authority that this does not happen. To put this into perspective in August 2008 Lloyds banking Group sold in excess of 825,000 mortgages, meaning over 825,000 separate contracts should have been executed.
Amend the charge held at the Land Registry- When you took out your mortgage, your lender will have registered a charge over the property. As soon as a mortgage is securitised the liability is settled and therefore the charge on the property is technically void and not enforceable. What should happen, is for the original lender to amend the charge to the third party who has bought the liability. This does not happen.
In order to determine if your eligible to submit a Mortgage Securitisation Claim (MSC), Legal Quest need to know whether your mortgage has been sold. This is done via their Validation Process which is a fixed cost of £260 including VAT.
During the Validation Process, they will carry out a Data Subject Access Request, asking the bank to provide certain documents which will enable them to check whether they have securitised your mortgage and, if so, whether they have done the paper work correctly. The process takes 3 -4 months to complete.
When Legal Quest receive the information from your lender they will carry out a Legal Review using their bespoke OCR system and you will receive a Legal Opinion based on their findings.
Following your legal opinion, providing Legal Quest have found sufficient evidence that your mortgage has been sold, you will be asked if you wish to join the Dispute Process and file a Mortgage Securitisation Claim (MSC) against your lender, on a 24% inc VAT No Win No Fee basis of any benefit.
By proceeding to the Dispute Process, you will be added to a Class Action Suit against your lender to present your MSC and, if required, take the Class Action to Court to dispute the validity of your mortgage.
Legal Quest hope to acheive an 'Out of Court' settlement, however, they are ready to take the case to High Court level if required. It is important to understand that unless they achieve a settlement, you will not have to pay them any further money.
In the event of a successful win the current balance of the mortgage will be cleared and the charge on the property released. You will, however, have a liability to Legal Quest for 24% inc VAT of any benefit under the Conditional Fee Agreement (CFA). If you are unable to settle this liability from your existing funds a new mortgage or loan may need to be arranged during the settlement process.
If the case goes to court, in addition to the reduction in your mortgage, Legal Quest may negotiate a refund of mortgage repayments you have made from a.) the point at which Legal Quest filed the Mortgage Securitisation Claim - MSC. b.) the point when your mortgage was sold. If any payments are refunded, the amount is classed as a benefit. However, it is not included under the Conditional Fee Agreement and no fees are charged on this amount.
In addition, should the matter go to court and the case is won, the court may award compensatory damages, together with all legal costs and related matters. Again, any award would be subject to the Conditional Fee Agreement payment terms. It is important to note that in the event that Legal Quest lose, you will not be required to pay any legal costs as these are all cover under BTE insurance or third party funding.
If you answer yes to the following questions you can take the Mortgage Challenge to see if you qualify for a Mortgage Securitisation Claim (MSC).
Do you have a loan secured by a mortgage on your property?
Does the loan have more than 2 years left before maturity?
Are the repayments on the mortgage up to date and not in arrears?
If you answered yes to these questions then you qualify to take the Legal Quest Mortgage Challenge.