[onetwo_threefour]

^So if he signs a contract with a bank that says they can sue him personally for a default on a conventional mortgage, he shouldn't challenge that even if it is contrary to the Law of Property Act? Just because something's in a contract doesn't always mean it's legitimate. The bank won't necessarily play fair with you all the time either.

Did you know that there is case law that says that a bank must give you the benefit of pre-payment privileges when calculating the penalty on an early payout of your mortgage? And did you know that there are banks who still won't do it unless you either specifically request them to, or even worse, insist that you make two payments to take advantage of your pre-payment options, one for the amount of the allowed pre-payment, then a second for the balance with a recalculated penalty.

I think you're entitled in this case to investigate any options for reducing your costs and liability without worrying about honour. The bank doesn't look at it as such, they see a cold hard risk/reward calculation and act accordingly.