Mortgage offer & % LTV - advice please

yellowpollycat

Hi - I'm not quite sure what to do about this. I was given an additional loan offer from Yorkshire BS - my current mortgage holder - subject to valuation. I paid the product fee and valuation fee - I then received a letter stating that "I am pleased to confirm that the valuation report confirms satisfactory valuation of your property for lending purposes. In order that we may finalise your offer, please sign the enclosed insurance statements and provide a copy of your existing building insurance".

I did this and, as I was due to be out of the country for 4 weeks, phoned the branch to see if anything else was needed and if I could come in to sign the release for the funds prior to me leaving. The branch manager went through the file, gave me verbal approval and made an appt for me to sign the release documents yesterday. He was more interested in selling me insurance than anything - no mention of any problems, just give them time to get the forms printed.

However, when I arrived, the manager wasn't there and there was a problem - HO would not release the full amount - leaving me £10k short. No one in the branch could give me an explanation for this. I'm assuming that HO revised the decision and would only release 75% of the LTV rather than the 81% which the full amount brings it to. However, the additional product details clearly state that funds below 85% of the LTV would be released. The branch staff agreed that it all met the conditions and thought it was a "computer glitch" but that they couldn't override it.

I signed the release for the amount offered but feel I've been seriously mislead on this. I've paid a product fee for a product that has now been reneged on - if it said 75%, then it would have been better for me to go elsewhere for the funding.

Any advice? Given that I've made commitments based on this amount, do I have any comeback on YBS for this?