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What is Additional Mortgage Security fee

Can anyone help me understand what an Additional Mortgage Security fee is?

When I took out my mortgage I was forced to pay an "Additional Mortage Security Fee" - is this the same as a PPI or is it something different?

Thanks

Comments

  • marshallka
    marshallka Posts: 14,585 Forumite
    This may be required with the mortgage exceeds a certain percentage of the value of the property, usually 75%. It is an up-front, one-off fee paid to the broker to protect against the borrower defaulting on the mortgage. It can also be know as Indemnity Guarantee Premium or Mortgage Indemnity Premium.

    I have looked at this before and this is what it is and is mostly a one off premium so not actually PPI.
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