Settlement Figure Charges...

Dranny

My current "promotional rate" of 4.98% runs out with Accord 30th September, and goes on to their less than competetive SVR of 5.34% thereafter.

So a couple of months back I set the wheels in motion to do a re-mortgage as Accord's new deals were poor IMO.

Ended up with a Post Office 4.65% fixed in for 5 years all set up for 1st October. Jobsagoodun.

Accord just sent me a mailshot detailing a new deal they can offer me. 2 years fixed - 6.19% - then onto SVR. Made me doubly glad I organised the re-mortgage if thats the best they can do, but also got me wondering what my exact owings will be as of October 1st.

So I called them and asked.

Apparently as they've issued a statement to the solicitors dealing with my remortgage, a charge is now needed to do the same for me. £10 to be precice. I said no, I don't need a certificate - a figure off your screen will do.

Apparently the figure cannot be seen without requesting a statement, and so the upshot is, I will not be told what I owe Accord without paying them.

If I wanted a redemption figure on any other kind of loan, e.g. unsecured personal loan, hire purchase etc I wouldn't be charged to ask how much I owe. In fact in the present climate where theres more reposessions and non-paid mortgage payments than ever, Iits made me pretty mad that they want to charge me, a guy who's never missed a payment with them, or any other firm for that metter, for having the audacity to want to know where I stand, monetarily.

£10 to tell me a figure. It takes 20seconds, and doesn't require any effort on the CSA's part. In fact I was on the phone LONGER moaning abut the charge, than if he'd just done it for me there and then!!!

I'm upset and annoyed. Am I right to feel this way or is it me that's out of order?

dunstonh

Am I right to feel this way or is it me that's out of order?

You are asking them to duplicate their work so a small fee is not unreasonable. You can always ask the solicitor for the figure.

dwsjarcmcd

I have sympathy with the OP on this matter. The reality is it will probably cost them more that £10 to process the fee and it has a detrimental effect on the customer, who will never return to Accord in future, for the sake of a tenner. Also if you follow dunstonh's logic, banks and building societies should charge for, say savings balance telephone requests, which they don't do.....yet!

David

dunstonh

For reference, I am not saying I agree. I just think its not unreasonable. I suspect the charge is a deterrent rather than an attempt to make money.

Also if you follow dunstonh's logic, banks and building societies should charge for, say savings balance telephone requests, which they don't do.....yet!

They reserve the right to charge for those that frequently visit the branch to ask for printouts. The way the FSA seems to want explicit charging for everything and nothing implicit then a charge for a balance in future is not beyond the realms of possibility.

dwsjarcmcd

dunstonh wrote: »

For reference, I am not saying I agree. I just think its not unreasonable. I suspect the charge is a deterrent rather than an attempt to make money.



They reserve the right to charge for those that frequently visit the branch to ask for printouts. The way the FSA seems to want explicit charging for everything and nothing implicit then a charge for a balance in future is not beyond the realms of possibility.

I think we are agreeing on this. I think it is a stupid amount to charge because of the reasons I quoted, also they may reserve the right to charge for these things, and you are right about counter charges in branches being an example, but they don't for most. For telephone savings balance queries I don't know anyone who charges for this information, even if they haven't automated the process.

Some lenders may, however, want customers to move away given the economic situation!

Dranny

dunstonh wrote: »

You are asking them to duplicate their work so a small fee is not unreasonable. You can always ask the solicitor for the figure.

Good point - I could ask my solicitor.

Just as valid though - Accord could tell me the content of the redemption figure they've already produced for my solicitors. No duplication of work there as its already been done.