[Anonymous]

I have a mortgage for my property with Banco Halifax Hispana. My mortgage is a five year interest only. The mortgage product, also allows me to make capital repayment as and when and also draw down up to my agreed limit.

I will shortly be receiving a substantial amount in €s, This amount I will be needing in October 2009 as per a contractual agreement. For practical purposes I need an account to park the funds until October 2009.

In view of the fact that the deposit interest rates are so low & not to mention the tax on interest. I thought to reduce my mortgage until October 09, with the said amount. This way I will have an account to park my funds, effectively get a higher rate of interest on it, equivalent to the mortgage rate that I am paying & also there is no tax issue, as I have not earned any interest.

I have friends who have a similar account with Bank of Scotland in UK. My friends agreed limit i.e. facility has been withdrawn due to credit crunch on the pretence that as they are not using the facility who do they need it.

As my product is similar. I am concerned that Banco Halifax Espana may do the same & when I need the funds in October 2009. The bank will give some excuse for me to not to have access to my funds. I had a meeting with my bank manager last week & he assured me that the facility cannot be withdrawn as per my contract with them.

The banks contract is a fairly generic and I do not have confidence with my managers interpretations of the terms and besides Banco Halifax Hispana, has been taken over by LLoyds TSB group, the chances are that all & sundry will be revived next year.

Has anyone on the forum had any such experience where a facility has been withdrawn or have any suggestion’s.
facility has been however heard a

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