Mortgage Exit Fees successes and failures

[MSE Dan]

This discussion is to report success and failures stories for Mortgage Exit Fee claims in relation to the

Mortgage Fees Article

To report your stories click reply

[JonF]

Hi,
I checked through my details in my previous mortgage with Natwest and found that they had charged me a "sealing fee" of £225 when it was stated as £50 in my agreement.

I've sent the letter off and am awaiting a reply!!

[rustyjames]

Complained nearly a year ago to Alliance and Leicester about their £295 exit fee, both from the angle of the punitive disproportional charge (a fee can't be a penalty), and the contract being unfair.

They initially offered to drop it to £225, but after a further letter they reduced it to £140. In light of this article maybe it would have been possible to hold out for even more, but I was happy at the time.

Note this was all after the mortgage had already been redeemed as I didn't have time to hold out and argue with them whilst the remortgage was taking place.

[silvercar]

Moved house in the Summer and kept (but increased amount) mortgage with the Coventry BS. A few weeks after moving I received a cheque from them for £225 the total redemption fee. The funny thing was that I hadn't requested the refund, though the enclosed letter was in response to my request. I'm guessing that my solicitor had contacted them.

The other point is that I had signed upto a new deal with the coventry in the previous year, so there was probably very little difference between the redemption fees from when that mortgage started.

[Llyllyll]

My success? story here: http://forums.moneysavingexpert.com/....html?t=257193

[Shaunyboy]

Hi there,

In May 2005 I was charged £115 Repayment Admin Fee and £50 Deeds Despatch Fee when I paid off my mortgage, making a total of £165 and I am considering asking for a refund.

When people talk about these charges is it right to count both of these or to keep them separate? Martin does not go into too much detail about the name of the fees in his article but I reckon no matter what you call 'em they are a rip-off.

Furthermore, I am sure I was not told of these charges when I took out my mortgage.

[draha]

Hi All

In the two years to Sep 2006, Abbey increased my MEAF from £99 to £225. I wrote one letter asking for a full breakdown, to which they replied that originally there was also an £80 fee "if you wanted Abbey to act in the removal of our charge"--so they're saying the fees were £179 in 2004? I'm not sure what that means, so I've gone and sent the template letter asking for the £126 difference.

Anyone got any further advice?

Thanks
Rich



First Letter
In September 2006 I remortgaged and left Abbey. I was surprised to find that the administration fee Abbey charges for leaving had increased from £99 to £225. I was a loyal customer who made repayments for more than two years, I always maintained my account well, and I did not leave the contract early.

I do not recall Abbey agreeing this rise in fees with me or telling me that exit fees would increase by any objective standard amount at the start of our contract. Abbey also did not give me any other valid reason for the rise.

The rise is more than 130% over less than two and a half years—far greater than inflation. Please provide a breakdown showing what this fee is for.

[Jimmyboy]

I recently (Jan 2006)went to the Ombudsman regarding miss selling in 1988, but as I had repaid a large amount, I got no joy as the endowment would cover what was remaining. I was then appalled at the fee charged which was £295. When I complained, I also got nowhere with this.
Due to the recent press coverage I have claimed this fee back plus the interest as the fee went on to my new provider. I Will keep you posted on the outcome.

[DAF3600]

After receiving my money tips email letter, i rung my bank Lloyds TSB and told them I was putting a letter together, re charges for handing over my deeds when i paid up my mortgage. The lady was very polite and after getting my details asked me to hold on, five minutes later she came back to me telling me my rebate of between £150 to £190 would be paid into my account in 5 to 6 days. This is a top result and all thanks go to Martin for informing us of our right to claim this charge or part of it back.

[floogy99]

Just called the Halifax and asked them about my repayment fee.
I settled my mortgage last week and was charged £175.00 repayment & £50.00 despach fee.
Not knowing what the original agreement was I asked the Lady to check & gave her my account number. Quick as you like she told me that the original fee was agreed at £50.00 repayment fee and offered to send me a cheque. I asked about the deeds despach issue, and was told that this was not covered by the F.S.A. announcement.
£125.00 for 5 mins work. Martin your'e a bloody genious thanks

[rachelshopper]

I have been offered £95 from Northern Rock - should I take it? Took two days for them to respond to my letter. The £95 is difference between fee quoted at start and fee charged at end of mortgage.

[floogy99]

Rachel I think you should, coz as I understand it, it's exactly what youre entitled to. £95 is better in your pocket well done

[Bag Lady!]

Hi - I have just made a phone call to the Woolwich to find out about any refund due from our redemption fee paid in Dec 06. I'm glad to say that without any hassle I am due to receive £125.70 (£125.00 +.70p interest)for this PLUS - I hadn't realised this, but as we did a "top up" with them in DEC 03 we are also due £55 plus £6.70 interest for this also.

[balloonist]

I am lucky enough to pay my mortgage with the Halifax some 10 years early. Shock and horror they want £175 for the honour. So my little brain got to work and for £10 I've changed the term of the mortgage from the original 25yrs to one month and as such now do not have to pay the early repayment fee.

At least I've saved £165

[MikeJ37]

Just phoned Cheltenham & Gloucester and they offered refund of additional amount plus interest straight away.

[BindiBahji]

Originally Posted by floogy99

Just called the Halifax and asked them about my repayment fee.

Thanks for your post, floogy. I've also just redeemed a Halifax mortgage and so following your experience I decided to call them today. They are obviously on the ball with this issue as there is a dedicated option on the telephone system menu when you call.

Originally Posted by floogy99

I settled my mortgage last week and was charged £175.00 repayment & £50.00 despach fee.

I was only charged the £175 as I think the deeds were passed to my new lender electronically.

Like you I wasn't sure what the fee was when I took out the mortgage in mid-2004 but the CSA reckoned it was £100 which sounded about right to me. She said an investigation had been logged and all being well I should receive the difference of £75 by cheque within 28 days.

[tigerjet]

Just about to remortgage (having used excelellent L&C as recommended by this site)from Coventry BS to Bank of Ireland.
They have put up their exit fees by £100 since 2003. I sent a letter on Saturday asking to pay the original fee quoted, of £95,in light of the FSA ruling.
Heard today they have agreed- just like that.Wow.

[chivers1977]

C&G just agreed!

I work for the Woolwich and know that everyone who calls in will have the difference refunded plus interest and payment will be made by CHAPS.

[lornaburg]

I searched and searched for my old documentation for my old mortgage which I finished in 2000 and couldn't find anything other than the roll number.

So I rang the Halifax to ask for a copy of the closing statement expecting to have to fight for it.

As mentioned earlier, they are already on the ball - there is an option on the phone dedicated to the process.

I spoke to a helpful young man there who looked everything up for me and 10 minutes later I put the phone down with a promise of £75 cheque in the post.

Thanks Martin.

[JBEILBY]

Have just had my annual mortgage statement from Britannia which shows they have increased the discharge fee from £75 to £125 (and it's per account) but there does not seem to be any explanation in the paperwork I have received that justifies the increase. Sorry to be a bit confused here but is the discharge fee the same as the exit fee? I have to search out past paperwork to see if they can do this and am interested as to whether I should challenge this now - I only have 5 years and 8 months left to go.