Mortgage Exit Fees successes and failures

paula65

After reading the site, found my morgage details from three years ago. Just telephoned Verso who confirmed should have paid 100 quid and charged 125. Now sending a cheque back for 25 quid.

Thanks Martin


trying to claim back ppi now from Barclays and Paymentshield. Letters sent today

jamiecg74

I wrote to Kensington last week regarding a redemption overpayment when we changed our mortgage two years ago and have just had this response from them. I have had a letter back from them, I have typed up half the letter from them:

“Further to the recent statement of good practice made by the FSA, we have now considered our position and would like to take this opportunity to explain to you in relation to the above numbered mortgage.

By accepting your mortgage offer issued on 15/9/2003 you agreed to become bound by all terms and conditions during the term of your mortgage.

The tariff of charges that accompanied your offer clearly detailed the MEAF as a redemption admin fee.

The tariff also made clear that the fees shown we liable to change in the future and that you would be notified of any such changes as and when they occurred.

I confirm that the redemption fee is charged in respect of the additional work that is undertaken on behalf of the customer when the account redeems. The additional work that is involved during the redemption process includes, but is not restricted to the following:

Applying redemption monies to a mortgage account.
Preparing and issuing applicable refunds
Ensuring our charges are removed from the land registry.
Our fees compare favourably to those applied by other lenders in the market with the smallest increases made over the last decade.

In consideration of this and the work undertaken I remain satisfied that our redemption admin fee represents a reasonable estimate of the costs we incur as a result of a mortgage account redeeming. Our fees are also reviewed regularly to ensure that this continues to be the case. The FSA statement explains that the lender in this case Kensington Mortgages should be able to justify and increase in any MEAF. And with this in mind that I would like to explain the reasons why our MEAF increased from £100 to £145. As a business it is vital that we are able to operate as a viable commercial operation. There are instances where increases ion the costs we incur have to be factored into the costs associated with undertaking admin work on behalf of our customers.

It goes on to end……………


I feel it would be beneficial to both parties to treat this letter as our final response.



Have I got a case if I were to take this further, or would I be wasting my time??

Apologies for the long message.
Jamie

Strawberry_saver

I recently watched "It Pay's to Watch" and heard about the claiming of Mortgage exit fees. I hadn't a clue what my contract had said or what i actually paid in the end. I found the addresses to write to off this site and copied part of Martin's template letter and added a bit asking for the details to find out what my fees should of been and then what they actually were. Sent 2 letters out 1 to Bradford and Bingley (still waiting for a reply) and 1 to Alliance and leicester. Sent it Monday got a cheque for :j £210 :j on the Thursday!!!!! (Apparently the fee i had paid was £295)not bad for the cost of a stamp!!
:j :beer: :T :j :beer: :T :j :beer: :T :j :beer: :T

airbus321

Hi Moneysaving expert, just got £200 back from Standard Life and 25 from Brittannia BS. All for copying 2 letters from your site. Took less than 1 week.:T Many thanks, easiest money i have made in years.

mel101_2

jamiecg74 wrote: »

I wrote to Kensington last week regarding a redemption overpayment when we changed our mortgage two years ago and have just had this response from them. I have had a letter back from them, I have typed up half the letter from them:

“Further to the recent statement of good practice made by the FSA, we have now considered our position and would like to take this opportunity to explain to you in relation to the above numbered mortgage.

By accepting your mortgage offer issued on 15/9/2003 you agreed to become bound by all terms and conditions during the term of your mortgage.

The tariff of charges that accompanied your offer clearly detailed the MEAF as a redemption admin fee.

The tariff also made clear that the fees shown we liable to change in the future and that you would be notified of any such changes as and when they occurred.

I confirm that the redemption fee is charged in respect of the additional work that is undertaken on behalf of the customer when the account redeems. The additional work that is involved during the redemption process includes, but is not restricted to the following:

Applying redemption monies to a mortgage account.
Preparing and issuing applicable refunds
Ensuring our charges are removed from the land registry.
Our fees compare favourably to those applied by other lenders in the market with the smallest increases made over the last decade.

In consideration of this and the work undertaken I remain satisfied that our redemption admin fee represents a reasonable estimate of the costs we incur as a result of a mortgage account redeeming. Our fees are also reviewed regularly to ensure that this continues to be the case. The FSA statement explains that the lender in this case Kensington Mortgages should be able to justify and increase in any MEAF. And with this in mind that I would like to explain the reasons why our MEAF increased from £100 to £145. As a business it is vital that we are able to operate as a viable commercial operation. There are instances where increases ion the costs we incur have to be factored into the costs associated with undertaking admin work on behalf of our customers.

It goes on to end……………


I feel it would be beneficial to both parties to treat this letter as our final response.



Have I got a case if I were to take this further, or would I be wasting my time??

Apologies for the long message.
Jamie

U have a case for your MEAF but not your redemption overpayment. A redemption is legal. Write back telling them your not accepting that this is a justifiable increase. They know this is illegal and must pay you back. Fight for it and dont let them fob you off. I have claimed over £15000 back in charges including Meafs and would not of got anywhere if id let them fob me off!!

SkintFlint73

We are in the process of switching our mortgage currently held with the Alliance & Leicester to another one of their mortgages. We specifically asked for a mortgage with no early repayment fees as we have our house up for sale and will hopefully be moving in the next few months.

We have received the paperwork with the new mortgage details on it and we have to sign it and return but there is a section which says- No early repayment charges are payable on this mortgage. A Redemption Administration Charge, currently £295.00, will be payable if you repay this mortgage in full early. !!!!!!!!!!!!!!!!!

Isn't that the same thing? I wondered if anyone knows the difference and whether they are right to ask for £295.00 following the whole claiming mortgage exit fees back??? Its a lot of money for a bit of paperwork & now we don't know what to do next. Paperwork needs returning by mid if next week.

Thanks in advance!

debbs

Well following MSE advising that we contact mortgage lenders re these charges we have written to four lenders. My brother has a £10 cheque on the way from Northern Rock, not much but better than nothing. I have not heard from Halifax yet, Bristol and West sent us a form to sign today and as a gesture of goodwill they will then return our overpaid £50, gesture of goodwill my !!!!, money that was owed to us and shouldnt have been taken in the first place. Our other company Coventry has just sent a letter last week acknowledging our complaint and will be in touch shortly. It's a start I guess and looking forward to hearing what they owe us as it should be between £70 - £100
Will report back as and when I hear from Coventry and Halifax.

sva14

After watching It pays to Watch I phoned halifax the next day on the dedicated number (phone number on website), a five min call and was told I'm owed £35. Chq in post. Then Emailed Egg who I re-mortgaged with. They emailed back in few days to say I'm owed £85 which they paid into my bank account. Got all money total = £120. Thanks Martin. Keep up good work.

jenster

Hello all

and a big ty to Martin and the team for helping on this

exited from direct line in 2006 paying £ 199 should have only been 85 quid so im getting back £114

one quick phone call is all it took

jenster.

lyncolchester

Thank you MSE a 10 minute telephone call to Barclays/Woolwich agreed they had overcharged me and with interest will be returning £90.00.

Contacted Halifax agreed they had overcharged but were not willing to give me the interest, bit more time consuming as they require you to fill out a form and return to them..still awaiting the form but should get back £30.00.

Best paid work I have have done for 20 minutes. Is there a charity where I can donate some of this reclaimed money as I would not have known about if I had not visited your web site?

I am also taking your advice and reclaiming credit charges.

Many thanks