Mortgage Exit Fees successes and failures

blindmice

Hello

This thread and indeed the last post have caught my attention.

I am moving from alliance and leicster to C&G. My A&L fixed rate is finished and my understanding was that I was free to go to another lender without incurring any early repayment charges - as I had honoured the two year conrtact we had.

I received the redemtion statement TODAY and I have a redemptiom admin charge of £295.00. There is no mention of this figure in the mortgage conditions handbook. I queried it and was told it was an admin fee I had to pay. They said the cost of redemption was stated on my statement. I had wrongly assumed that this fee was if you were breaking your contract with them within the two year fixed rate.

Is there anything I can do - this will make my total in and out fees with them £545..and then the arrangement fee of £999. If they are still appying this fee after the fsa ruling what can I say?

I contacted C&G to see if they had such a policy before I switched to them and was told they have NO exit fees. Looking at martin's chart though I am not sure that is correct?

Can anyone help - very new here!!

MarkyMarkD

If you first took your mortgage out with A&L two years ago, the £295 will have been stated on your KFI.

If you merely switched products two years ago to the fixed rate product (and I'm guessing that you did because you mention a £250 fee which is presumably the product switch fee), and had been with them prior to 2004, then the £295 will have been stated on the documentation for your product switch.

The £295 is an inherent cost of the mortgage product you chose. It would have been fairly disclosed. It is payable. The fee is perfectly consistent with the FSA ruling because it was stated to you before you chose to switch products.

MEAFs should no longer be listed in mortgage conditions handbooks - and the like - because they are set at the outset and can't be varied thereafter (or at least, not much). So one figure in a handbook would not be right for all borrowers.

blindmice

Mark

Many thanks for the swift response x

milo11

Im not sure if I can claim can any one advise? I have had my mortgage for 6 years with northern rock, and in that time we had a two year deal which after this finished we had a repayment fixed rate for 5 years. in this time we have remortgaged money and on a seperate occasion went intrest only. Does this fall under the catergory of allowing us to claim anyhting back, I wasnt sure, and northern rock was not helpful (suprisingly!)

feisty1

JenHen wrote: »

I will shortly be charged a £225 admin fee for redeeming my mortgage with C&G. This amount is consistent with the paperwork I received when I took out the mortgage two years ago. Can I still reclaim the fee anyway or would I only be able to reclaim if there were a discrepancy?Thanks JenHen

Quote Can I still reclaim the fee anyway

What would you state as the reason for reclaiming?

dunstonh

Can I still reclaim the fee anyway

Go to Tescos, get your food, go to the checkout and pay for it. Then go back the next day and try and reclaim your money. That is effectively what you are asking with C&G.

You have no rights to claim back the fee that was known before you bought the product.

rushers

Hi. Does anyone know if you can reclaim from GE Money? I've had two mortgages with them.

_Andy_

Only if what they charged you was more than what was on the original agreement.

MarkyMarkD

And even then, only if it was a mortgage regulated by the FSA which it may not have been.

samandmillie

My first ever mortgage was with RBS in 2000 but I cant find my old statements or when I redeemed it. If I rang them do you think they'd have the details and be able to tell me if I am entitled to any type of refund?

Many thanks