Mortgage Application Fees

simon_ritchie

Hi,

Apologies if this has been asked 1000 times before!

We have recently applied for a mortgage with RBS and they are somewhat dragging their heels on a decision (3 weeks and counting). In the meantime we have found a better deal with the HSBC who assure us they can process an application in 3-4 days. We havent paid RBS the application fee up front (we intended to add it to the mortgage loan) but would be liable for the fee should we decline their offer? From what I undersntand, if your application fails and you havent paid the fee up fron then you dont owe anything. Is the same the case if the application is successful and you choose not to accept it? We are trying to understand where we lie in this situation so we dont end up owing massive sums of money.....

Many thanks!

benjo

I 'think' the product fee is payable if you take the mortgage and not payable if for any reason you dont, unlike the valuation, which when paid is non refundable regardless of the reasons for not taking the product - well thats according to my mortgage paperwork - hope that helps.