Manchester Building Society: over 200 owners of Spanish property are still stuck with their Spanish Lifetime Mortgages.

IF you are reading this article there is a chance that you are among the 200 odd owners of Spanish property that took out a ‘Spanish lifetime mortgage’ with Manchester Building Society (MBS), now part of Newcastle Building Society, some years back.

Unfortunately for borrowers, all agreed instalments were halted due to a prohibition by its regulator, PRA, to grant further loans in Spain and elsewhere and left borrowers ‘high and dry’, still with an MBS mortgage registered against their property and therefore unable to sell it, in most cases.

Last year, a Velez Malaga Court fully accepted executive proceedings brought by Lawbird Legal Services against MBS, on behalf of a British client, demanding full payment of the agreed loan of €300,000 (with interest).

This is in addition to the over 50 rulings won in many other courts against different equity release providers around Spain.

Now, more claims are being filed through the Courts to terminate the mortgage loans due to con­