Mortgage Exit Fees successes and failures

MartinsMyHero

Bank: Birmingham Midshires
Amount Overcharged: £50
Time taken to pay up: 1 week

Hello everyone,

This is my very first posting. I thought I'd share my good news with you:

I rang Birmingham Midshires on 6th June 2007 (after getting advice from this website) and complained about being overcharged.

I received a letter on 9th June telling me they were looking into the matter and explaining their complaints procedure.

Today 13th June, I received a letter offering me the £50 that was overcharged. I have sent off the acceptance form and should have the cheque within the next week.

I have other claims pending for 2 other building societies. I will let you know how that goes too. I am also claiming back unlawful bank charges from the Co-op - you know the ethical bank(!), but that's in the early stages yet.

My advice to everyone is GO FOR IT - they owe you for a change, and you know if it was the other way round they'd chase you for it AND charge interest.

Love and Luck to all.

PS - I'm in love with you Martin!

MartinsMyHero

Hello

You must have some idea of the dates on which you changed from one to another lender? This would be a good starting point.

Once you think you know when each change happened telephone each Lender in turn and simply say you believe you overpaid the mortgage exit fees when you left them. They will be able to find you on the system and should tell you exactly what the contract originally stated and what you paid when you left them - the difference being the minimum of what you can reclaim. Some people ask for interest on top of this too.

Some people try to reclaim the whole amount that they paid on the grounds that it was against contract law to change the amount without you agreeing. Some people also charge interest (standard 8%) on top of this, Martin has an interest calculator in the Reclaim Bank Charges section.

I have been sucessful with Birmingham Midshires despite not having a clue what it said on the original paperwork. I also am claiming fees form Standard Life and Northern Rock.

Give it a go and Good Luck.

joffeaves

I had no idea how much to claim for a switch from Northern Rock (Legal & General) in 2003. I wrote to Northern Rock complaining about the MEAF and they sent me £200 !!!!!!
They asked for a signed declaration (as you posted in the details) but that's it.
Keep up the good work Martin, many people I know use this site and I for one am now quids in.
Cheers.

adder1

I've just received my cheque for £235 after writing to complain about my exit fee from 2004. A&L handled it politley and paid up within 4 weeks. Thanks for the tip. Good luck to everyone else.

MarkyMarkD

princesskez26 wrote: »

Bank Of Scotland had me on hold 15 minutes, told me they wasn't sure whether I could claim back the mortgage exit fee ! I got transferred 3 times, I paid £195 last year when I switched and they've told me that that is their administration fee and I cannot claim it back, I originally took the mortgage out in 2004. Would anybody have any advice as to whether I am entitled to claim ?

Kez

£195 is about the going rate for big lenders' MEAFs in 2004 - e.g. A&L's increased to £195 in January 2004 - so I doubt that they are misleading you. You have probably been charged the correct amount.

MarkyMarkD

MartinsMyHero wrote: »

I have other claims pending for 2 other building societies.

Birmingham Midshires, Standard Life and Northern Rock are all banks not building societies.

NeilB

MarkyMarkD wrote: »

£195 is about the going rate for big lenders' MEAFs in 2004 - e.g. A&L's increased to £195 in January 2004 - so I doubt that they are misleading you. You have probably been charged the correct amount.

Although this doesnt mean you cant still try and get the fee down to £50 which is seen as reasonable.....

From martins report...

The actual administration cost to a mortgage lender of closing down a mortgage isn't thought to be much more than £50 so it's arguable that you needn't pay more than £50, regardless of what your contract says. Therefore writing to your lender, asking it to justify the charges with a full breakdown, and if it refuses asking for a full refund, can work

mas999

Worked a treat, phoned the Halifax, 2 minute called netted £100 refund

value for money or what

Thanks
Mark

flumpet

I took Martins advice and got £135.00 back from the Alliance & Leicester.
Thanks Martin

paulinehurrell

Remortgaged last October. RBS charged 'sealing fee' of £225, original contract stated sealing fee £75.

Made one telephone call to RBS mortgage centre, £150 was paid into my bank account within 7 days.

Thanks Martin!