Mortgage Redeption Fee

maebel63

Hello

I know there has been lots of discussion regarding this subject.

I was offered a mortgage with the Derbyshire in May 2006 and advised the redemption fee was £95.

The Derbyshire are now telling me that the fee was increased before I completed my mortgage to £125 and that this will be the new fee, however this fee will not increase.

I have quoted the FSA unfair contract statement to them, but they are adamant that as the offer letter quoted £95 as a "current" fee they are in their right to now charge me £125. I have advised them this is an unfair contract and they are sticking to their guns and are sending me a letter to advise this is their final response.

Can anyone advise if there is any point in persuing this, I have quoted the FSA & moneysaving expert web site

Any advice would be greatly appreciated, its not a lot in difference, but more the priniciple.

Thanks very much

herbiesjp

Have a look here

It should help

maebel63

thank you, I know there have been successes, but the Derbyshire are sticking to the fact that they quoted current fee of £95 in my offer letter and because of this they are charging me the fee of £125 (the fee that it had increased to by the time I completed). They are sending me a letter to enable me to complain through the ombudsman now as this is their final response. I just wondered if there was any point in me taking it further. Thank you

Trying_to_be_good

Did they send you a leaflet or similar with the current charges for the date of completion? If so, what did that state the fee was? If that's the £125 figure, I'd think you were unlikely to succeed. But if it states the lower £95 fee, you could save £30.

How much of your time is it worth, for £30? I know it's the principle, but I feel there's a line somewhere when it's easier to just pay the higher fee and live an easier (more stress-free) life than to keep arguing.

maebel63

thank you for your reply - current fee was quoted as £95, I know some people wouldnt bother

maebel63

I won , in the end I complained to senior manager & quoted FSA web sites about unfair contracts. The team leader phoned said there was a misunderstanding and that the fee would only increase if I had a further advance (although I didnt mention further advance) and the fee would be £95 as long as I did not change terms of my mortgage. Made a further call to get in writing this did not mean lengh of mortgage.