Paying The Mortgage Product Fee?

xshootingstarsx

I'm just wondering if anyone can shed some light on this.

My husband and I are going through the stages of purchasing a home. Our mortgage provider issued the mortgage offer on 6th October 2011. All was fine and dandy. Then today I receive an amended mortgage offer issued 14th October (all of the details and figures look the same) and I call my provider and they said the offer had been reviewed & the system automatically reissued the mortgage offer.

We have a £999 product fee to pay for the mortgage. We were advised we need to pay it before completion otherwise it'll be added on to the mortgage. My husband went to pay it today and was advised he couldn't until after the completion of the mortgage and the account was restricted.

Just wondering if anyone can shed some light on this?

sockpuppet

Hello, as far as I am aware if you have opted to pay the product fee 'on completion' and not add it to the loan you cannot pay this until it has actually completed as if for some reason you do not complete you have not paid a fee for something that has not happened.

I am not sure when it needs to be paid as this probably varies from lender to lender, it may be best to give yours a call and ask them when you need to pay it. I think one lender gives you a period after completion (such as 7 days) to pay it or they add it on and adjust your payments accordingly or it may be that your solicitor will need to forward the payment to them once a completion date has been set and he has requested thefunds from the lender.