Valuation fee charged after lender withdrew offer

gcrossan

Hi all,

Hoping for some advice from you good people who probably have a lot of experience in this field.

My situation is this, I applied for a mortgage through Lloyds TSB Scotland and paid the application fee of £99 and signed all the bits of paper, one of which included the statement, 'valuation fee, payable: upfront, refundable: no, £225'.

So, between me having an impeccable credit rating for the past ten years and the mortgage offer having been made, I missed a single credit card payment (min payment of a fiver on a balance of 200 quid! but thats another story :mad:) and they decided to withdraw the offer just days before we were hoping to complete.

Then a couple of days ago I received a letter in the post which contained this litle beauty 'During the processing of your application, we were asked to arrange a valuation for you. In your mortgage application it explains that if you do not proceed with your mortgage you may have to pay any valuation costs. We now require that payment to be made.'

erm...ME not proceed with my mortgage?! YOU knocked ME back!

Im not naive, I know that notifications like this are generated automatically but do I just have to suck it up and let them take the 225 within 10 working days? I know they carried out a service on my behalf but it seems a little harsh to make out like I just changed my mind and sacked them off.

Best I can probably hope for is a bog standard apology letter after theyve taken my cash anyways?

Thanks for taking the time to read this.
Gareth

Cazza

Did the survey actually happen? If so, you don't really have a leg to stand on I'm afraid. If not, it's worth a fight, but don't count on anything!

koexelek

Cazza wrote: »

Did the survey actually happen? If so, you don't really have a leg to stand on I'm afraid. If not, it's worth a fight, but don't count on anything!

This is the key.

I am prety sure they can't charge you for a survey that was not carried out, but if it was carried out, and they subsequently declined you, they are within their rights to charge you for it

gcrossan

Thanks for your quick reply!

Yeah the valuation took place. Im not trying to be unreasonable with regards to getting something for nothing. I just think for them to continue so far into the process then withdraw the offer last minute, and then issue me with a letter saying I didnt proceed with the mortgage is a bit harsh. Actually, thats given me an idea...if my credit file had been updated before they sent the surveyor out then Im gonna say there was no need for it to take place because they were never in a position to offer me the mortgage. They did 4 checks by the looks of things :S

Thanks again for your time.
Gareth

feisty1

ye but have said the missed payment happened during the process