NEW Mortgage Exit Fees Discussion

wookie_2

I am remorgaging with the Nationwide in a few days and I have just recieved my redemption statement from my solicitors, and it says i have to pay a discharge fee of £175, I was wondering how much of this i could claim back?, I cannot remember what the origional figure was, knowing the Chelsea they wont tell me anyway, does anyone know what amount i should ask for back?:D thanks in advance

Noz

wookie wrote: »

I am remorgaging with the Nationwide in a few days and I have just recieved my redemption statement from my solicitors, and it says i have to pay a discharge fee of £175, I was wondering how much of this i could claim back?, I cannot remember what the origional figure was, knowing the Chelsea they wont tell me anyway, does anyone know what amount i should ask for back?:D thanks in advance

It will depend on when you started the Chelsea mortgage - so you need to find your documentation for a proper answer.

Use this website for a guideline: http://www.thisismoney.co.uk/mortgagefees#c

wookie_2

Noz wrote: »

It will depend on when you started the Chelsea mortgage - so you need to find your documentation for a proper answer.

Use this website for a guideline: http://www.thisismoney.co.uk/mortgagefees#c

Many thanks for the link it was and is very usefull, it would seem that i may be able to claim about £90 back as i took the origional morgage out with the chealse in early 03, well chuffed, need to send of the Martins template letter now,:D

BaileyB

I phoned HSBC and was told they dont charge fees, is this correct?

Thanks

MarkyMarkD

Perhaps if you referred to the link in the post immediately before yours, you would find the answer, Mr K?

astralbee

MarkyMarkD wrote: »

A&L do have a mechanism for repaying over-paid MEAFs. But equally well, the FSA have not ordered any lender to reduce their charges.

I presume that what you mean is that you took out your A&L mortgage (or switched product) after August 2004, and hence £295 is the correct MEAF for you to pay.

What I meant is that Halifax had a dedicated number to call about MEAF refunds who were able to tell me straight away what I could get back, and have prepared a standard form to cover the paperwork.

In comparison, A&L just logged an individual complaint and said that I would have to wait for a decision from customer relations.

MarkyMarkD wrote: »

Your comment simply has no substance.

Ouch, even harsher. I'm not taking this personally though, as I notice you have replied to a number of posters in a rather obnoxious know-it-all manner.

I refer to Martin's template letter:

I believe this unexpected increase does not reflect the true cost to [INSERT NAME OF BANK] of covering the staff and administration costs involved and I believe I have been unlawfully deprived of the money.

The crazy notion I had (which had no substance) came from this paragraph. If they really have unlawfully deprived me of money, then the charge is illegal. Martin's letter requests a refund of the total fee paid, and while most people will take any offer they consider reasonable I wholeheartedly agree with Martin that the full amount should be paid back if that charge was not lawful.

Incidentally, A&L have now offered me £100 of the £295 charge back. Should I take it or press for more? (that question is to everybody)

Darrell

wookie_2

astralbee wrote: »

What I meant is that Halifax had a dedicated number to call about MEAF refunds who were able to tell me straight away what I could get back, and have prepared a standard form to cover the paperwork.

In comparison, A&L just logged an individual complaint and said that I would have to wait for a decision from customer relations.



Ouch, even harsher. I'm not taking this personally though, as I notice you have replied to a number of posters in a rather obnoxious know-it-all manner.

I refer to Martin's template letter:

I believe this unexpected increase does not reflect the true cost to [INSERT NAME OF BANK] of covering the staff and administration costs involved and I believe I have been unlawfully deprived of the money.

The crazy notion I had (which had no substance) came from this paragraph. If they really have unlawfully deprived me of money, then the charge is illegal. Martin's letter requests a refund of the total fee paid, and while most people will take any offer they consider reasonable I wholeheartedly agree with Martin that the full amount should be paid back if that charge was not lawful.

Incidentally, A&L have now offered me £100 of the £295 charge back. Should I take it or press for more? (that question is to everybody)

Darrell

I would ask for more, as it was stated in another post it should only cost around £50, in real terms, although i am no expert:o just my personal opinion

MarkyMarkD

Martin admitted in the follow-up to his Channel 5 programme (which is on the website) that he has moved away from his original bolshy attitude of demanding a full refund.

His words, if I recall, were that he's no longer convinced that it's right to make this demand.

I agree.

If you agreed to pay £x at the start of the life of your mortgage, it's frankly irrelevant whether £x is more than the cost to the lender. You agreed to pay that amount and you should comply with that agreement.

Astralbee - I haven't replied in a "know-it-all, obnoxious way" on this thread. I do know more about this subject than 99% of the people who have posted on this thread (with a few honourable exceptions) and I am somewhat tired of answering the same points many, many times but continue trying to do so in an effort to be helpful.

A few people have gone to their lender with the "refund it all, it's illegal" attitude. None of them are morally in the right. A few of them have got full refunds.

If you want to take money from your lender which you aren't entitled to, feel free. Why not walk into Tesco and steal some food on the way home too? Both are equally morally justifiable.

By the way, you haven't explained the basis of the £100 refund, or answered my point about when you took out your mortgage and hence which MEAF is actually due? Now that you've said that you've been refunded £100, I might guess that you took your mortgage out between January and July 2004?

MarkyMarkD

wookie wrote: »

I would ask for more, as it was stated in another post it should only cost around £50, in real terms, although i am no expert:o just my personal opinion

It's not a penalty. The cost is irrelevant. It's an agreed charge for a service the lender provides when you redeem the mortgage.

The FSA's ruling was very explicit about this point. It said that lenders can charge any amount they like, as long as they don't increase that amount without good reason.

wookie_2

MarkyMarkD wrote: »

It's not a penalty. The cost is irrelevant. It's an agreed charge for a service the lender provides when you redeem the mortgage.

The FSA's ruling was very explicit about this point. It said that lenders can charge any amount they like, as long as they don't increase that amount without good reason.

So for an increase from say £50 to £295 :eek: is a good enough reason then is it , i think not!!!!

Dont forget this MY personal opinion!!