exit fees with regard to mortgages

Deals_2

trying to read through martin and other people's comments on this but not sure that i understand everything. basically does one have to or not pay exit fees? thanks in advance.

irishwench69

OK, I'm sure someone will be along (like one of the brokers!) who can put it much better than me, but as I understand it, it would really depend on your mortgage!

If you're in a fixed period / special rate, coming out of this would be very expensive, and you normally pay a fee around 6% of the overall mortgage / loan --> i.e an early repayment fee....

But after this period is up, presuming you don't have an overhang ( :eek: ), you can move mortgages. This has a (usually) nominal fee attached, which I think is what you're talking about. This is normally a couple of hundred pounds, and is for your lender to get the necessary documentation together etc.

HTH!

IW x

Deals_2

so are these nominal exit fees legal?

irishwench69 wrote:

OK, I'm sure someone will be along (like one of the brokers!) who can put it much better than me, but as I understand it, it would really depend on your mortgage!

If you're in a fixed period / special rate, coming out of this would be very expensive, and you normally pay a fee around 6% of the overall mortgage / loan --> i.e an early repayment fee....

But after this period is up, presuming you don't have an overhang ( :eek: ), you can move mortgages. This has a (usually) nominal fee attached, which I think is what you're talking about. This is normally a couple of hundred pounds, and is for your lender to get the necessary documentation together etc.

HTH!

IW x