can C&G charge interests while waiting for probate?

dancingqueen27

My husband had a mortgage on his name. Before his death he applied for mortgage holidays till the feb 07. Due to his death, C&G cancelled his direct debit but I 've been told that the interests still mounting up every month for the remaining holiday period even the account is suspended till I get a probabate. Is this is legal? Many thanks

dunstonh

They can continue to charge interest just as interest on savings is still paid to the estate.

The life policy that was taken out to cover the mortgage should be payable without delay unless it wasnt in joint names or not written in trust or on life of another. If it was incorrectly set up, this can be delayed whilst probate is obtained.

The executor of the estate should be in contact with C&G and let them know that there are sufficient funds in the estate to cover the debt. Otherwise, poor communication could lead them to instigating repossession (as a last resort). If the C&G know that the debt is going to be cleared from the estate, they will usually keep the mortgage running with interest charged until they receive the funds to clear the debt.