Nationwide changes again!

ElusiveLucy

I'm not happy about these changes in charges. And what is the one for charging you to tell you what your payment will be if you want to change the term about? Surely you'll need to pay that and the charge for the change to payment term, making it a £40 fee.....argh!

Like a previous poster, I am an ex-Portman customer and only found out this week that my overpayments were limited to £500 a month, having been 10% before. I have now maxed mine out to the limit, but I was thinking of bringing the term down as well so I can pay more off each month. I guess I will have to think about doing it before the end of August now to avoid the charges.

I'm so glad I saw this thread......thank goodness for MSE! :money:

financialbliss

Secure message back from Nationwide today:

Dear Mr [snip],
Thank you for your message.
Having spoken to your Customer Service Team, they have advised that if your term is reducing due to overpayments being received on the account the charge will not be applied.

If I can be of any further assistance please don't hesitate to contact me.

Regards
<Removed>
Customer Consultant
Internet Services

Phew. Looks like we will get away with that one.

As for the charge, you'll have to do your sums and if you envisage wanting to reduce your term by upping your monthly payment, get your request in before September 2010.

Financial Bliss.

Queen-Bee_2

ElusiveLucy wrote: »

I
Like a previous poster, I am an ex-Portman customer and only found out this week that my overpayments were limited to £500 a month, having been 10% before. I have now maxed mine out to the limit, but I was thinking of bringing the term down as well so I can pay more off each month.

Hi Lucy, yes, that's exactly what I have done and for the same reason!
QB

ElusiveLucy

Queen-Bee wrote: »

Hi Lucy, yes, that's exactly what I have done and for the same reason!
QB

Hi QB

I have just filled in the form to reduce the term of my mortgage which will enable me to still pay an additional £500 on top of the increased payment. I also noticed on internet banking today that they now have an option to specify what your overpayment options are - it allows you to reduce the term, reduce the payments, or reduce at next interest rate change.

My plan is to reduce the term now by 5 years, settle into the new higher payments and the £500 overpayment for a couple of months, then make sure I tick the box to reduce my term from any further overpayments - all before they start charging on the 1st september.

I rang the Nationwide this morning and the guy on the end of the phone told me what my new higher monthly payments would be within about 5 seconds of me telling him what I wanted to do. How can they justify charging £20 for that service from Sept? I know they need people to answer the phone but it is obviously just a click of a button and the info is available!

I am so grateful to this site for pointing out the charges, I hadn't picked up on them!

EL

spikeydudeuk

On the letting fees (£50 one-off fee plus 1.5% extra interest) - I spoke to customer services at the weekend, and they clarified that this only applies when you're letting the whole of your property out. Apparently they'll carry on granting permission to take in a lodger without charge.

snowmen

sent a email to nationwide about the overpayments bringing down the term of our mortgage and whether this would incur a charge after september the 1st. Got this reply -

I can confirm that if you make overpayments to decrease your mortgage term, you will not incur this charge. This charge relates to when you fill in a SF211 form to alter your remaining term.

ElusiveLucy

snowmen wrote: »

sent a email to nationwide about the overpayments bringing down the term of our mortgage and whether this would incur a charge after september the 1st. Got this reply -

I can confirm that if you make overpayments to decrease your mortgage term, you will not incur this charge. This charge relates to when you fill in a SF211 form to alter your remaining term.

That's good news. I've submitted my SF211 now so the term will be reduced by 5 years, then I can use any overpayments that I can afford to make in the future to reduce it further :j

greent

C&G previously had a £10 fee to amend payments/ term of mortgage - although you could OP (inc lump sum) and avoid this if you clearly stated that you didn't want either of them recalculated. They said on the phone about a month ago that this admin fee had been scrapped - but I'm not convinced - I'll re-check when I phone them next month!

ElusiveLucy

I thought I had not read something from the Nationwide properly because I could have sworn I didn't know about the change in charges until I read this thread. Now I know why - my letter only arrived this morning!!! D'oh!:o

Chell

I've received this letter too, fingers crossed the charges don't apply to us, it was rather confusing.