Mortgage Overcharges - compensation

rachelleeds29

Hello im wondering if someone could help, after 17 weeks of waiting finally Yorkshire Bank have admitted a human typing error on creation of my mortgage account 4 years ago - due to this error occuring i have been left in financial hardship as they was charging £684 per month instead of £460, as you can imagine i was unable to pay normal utility bills, & credit cards due to this error. I have also encounted many times in which the bank was hassling me for arrears to the mortgage when in fact i am well in front they have sent many threatening repossesion letters & even included a shelter leaflet, after 4 years of torture & depression it has finally been identified of the error they have caused. Also due to this error i have recieved a ccj for my credit card as well as falling behind on council tax & havin a bailiff coming every week for this & eventually going to financial arrest in which the council tax was taken from my wage before even been paid. As the YB Bank have admitted their error they are prepared to buy back the credit card debt which they sold of £1700 & wipe clear the ccj from my credit report, they are prepared to return all my current account charges of £2414 plus the 8% interest, they said that they will keep the overpayment in my mortgage account which will reduce my monthly payment by £160 per month for the rest of the mortgage which is 15 years. However they have only offered a compensation of £1500 for all the distress & hardship they have caused over the last 4 years - i am a little disheartened with this offer as i feel it should be more - but wondered if any1 can help advise how much compensation i should be entitled too, or if any1 has suffered a similar problem????

Thrugelmir

Have you sought legal advice?

A solicitors letter may assist in achieving a higher level of recompense.

opinions4u

rachelleeds29 wrote: »

Hello im wondering if someone could help, after 17 weeks of waiting finally Yorkshire Bank have admitted a human typing error on creation of my mortgage account 4 years ago - due to this error occuring i have been left in financial hardship as they was charging £684 per month instead of £460, as you can imagine i was unable to pay normal utility bills, & credit cards due to this error. I have also encounted many times in which the bank was hassling me for arrears to the mortgage when in fact i am well in front they have sent many threatening repossesion letters & even included a shelter leaflet, after 4 years of torture & depression it has finally been identified of the error they have caused. Also due to this error i have recieved a ccj for my credit card as well as falling behind on council tax & havin a bailiff coming every week for this & eventually going to financial arrest in which the council tax was taken from my wage before even been paid. As the YB Bank have admitted their error they are prepared to buy back the credit card debt which they sold of £1700 & wipe clear the ccj from my credit report, they are prepared to return all my current account charges of £2414 plus the 8% interest, they said that they will keep the overpayment in my mortgage account which will reduce my monthly payment by £160 per month for the rest of the mortgage which is 15 years. However they have only offered a compensation of £1500 for all the distress & hardship they have caused over the last 4 years - i am a little disheartened with this offer as i feel it should be more - but wondered if any1 can help advise how much compensation i should be entitled too, or if any1 has suffered a similar problem????

I suspect the mortgage miscalculation alone is not responsible for everything. If they had calculated payments correctly, and rates had gone up, how would you have afforded things?

If I've understood correctly, they're doing the following:

1) Writing off £1,700 in credit card debt.
2) Reimbursing £2,500 in bank charges.
3) Compensating you with £1,500.

While you may have had a torrid time, and there's no doubt that Yorkshire contributed to that, I'd be surprised if you'd get more. In other words, I'd take it, put it all behind me and get on with life.

In addition to the legal route mentioned above, you could refer your case to the FOS and ask for more. But that would drag on.

rachelleeds29

very true i get what your saying however i dont think they are 100% responsible for everything however i put my trust in my bank & was given an offset mortgage which was my initial complaint as i have no savings & wondered why this was, at the time it was a stressful personal situation & i had no clue of mortgages and they knew i had got a lump sum of cash from a previous home which i put down as a lump sum towards my new mortgage & i personally think they gave me the most expensive mortgage in relation to my income only being an average of £1100 per month - left with only £415 per month to live on & pay bills was ridiculous, at the end of the day i have a 1 bed back to back - not a four bed detached.. and it even came to ahead at one point when i felt so much pressure from their mortgage arrears department (bearing in mind i was well in front due to their human error) that i put my home up for sale costing me an extra £500 for an hips pack at the time, i would of never had, had to of done if my mortgage had been correct in the first place?? i do believe that if the mortgage had been correct over £200 per month extra in my pocket to help me pay things such as council tax, credit card & water that i fell behind on then i would never of ended up in this position in the first place...?? Thank you though for your opinion, it will help in my decision.