Mortgage Exit Fees successes and failures

Moneymummy_3

Hello all! We switched mortgages in 2001 and I phoned the Woolwich who have, in two minutes told me I will receive £57.73 by electronic transfer!!! Thank you Martin! However spurred on by this I then asked if we were due a refund from 2006 when we actually paid our mortgage off and the lady informed me that we paid £275.00 MEAF and that as that was the correct amount we are not due a refund. Is this correct or are they pulling a fast one??? HELPxx

dragon03

My Abbey mortgage is due to be paid up in September, so I've just rung them to ask what the exit fee will be, fully expecting to then have to ask why it's increased so much. Wind well and truly taken out of sails when I was told it will be £99, which was fixed when I took out the mortgage in 1984.

sanfairyann_2

I wrote a small letter to Northern Rock saying that I had heard about the reclaiming of these fees and asked if I was entitled to any refund . I quoted my mortgage number, signed it and posted it ,that simple. Within three weeks I had a reply saying that I had overpaid by £90 and if I signed the enclosed form stating who to make the cheque payable to that they would send it to me , which they did the following week. Not a bad return for the price of a stamp. Thank you Martin.

astrodruid

Switched mortgage from A + L in 2005, had to pay £295 exit admin fee.
Using your advice I phoned them up and stated the FSA decision. They asked how much I was expecting back I said £240. They said they would pass it on to a department that had been set up to deal with the issue and would write to me in 7 days. They did write .......they included a cheque for £210.......brillliant !!! Have now passed this on to my mates who have all got money back.

kidwelly

:j Many Thanks,
Used your letter and got back my £100 exit fee, with no problems.
Kidwelly

Bill-leamington

I read Martin's article in the Sunday Times on May 27th, "One call to claim a £200 refund".

I must say I was bit sceptical, but decided to call Alliance & Leicester.

I redeemed my mortgage in Dec 2005 after 6 years and paid a £295 fee.

I was told on the phone that I did have a claim and they would investigate.

Two weeks later I received a cheque for £235. :beer: No fuss, no hassle - just a straight refund - fantastic!!!
Many Thanks

scoobysue_4

balloonist wrote: »

I am lucky enough to pay my mortgage with the Halifax some 10 years early. Shock and horror they want £175 for the honour. So my little brain got to work and for £10 I've changed the term of the mortgage from the original 25yrs to one month and as such now do not have to pay the early repayment fee.

At least I've saved £165

well done, i am looking to sell my house and pay off my 24,000 mortgage but ive heard mentioned before that with some banks its possible to drop down to 1 month, as im with the halifax i shall do just that i think. thanks very much for the info.

Katyh_3

I was in exactly the same situation as draha with Abbey. In Oct 06 left to re-mortgage with Nationwide after 2 year fix rate term and was charge £225. Started mortgage in July 2004. Sent them template letter from this site. The responsed for more details and dates. I reponsed and received queue for £126 - difference from original £99 cost when I took out the mortgage.

MarkyMarkD

NeilB wrote: »

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

From martins report...

But, as I've previously pointed out, Martin's advice in this regard is wrong. The FSA's guidance does NOT require them to charge "the cost which is considered reasonable", it requires them to charge the amount you originally agreed to whatever that amount was.

If you agreed to pay £195 up front (say) then you should morally and legally pay £195 not £150. Demanding to pay less is simply bullying and wrong.

bandsassy

Just like to say thanks to Martin. Had a mortgage with the Abbey, rang them up re: charges, they sent a simple form to fill in and one week later we received a cheque for £140.:T