NEW Mortgage Exit Fees Discussion

MarkyMarkD

Zeusiblue wrote: »

Hi i checked out the posts on this site regarding claiming of mortgage fees. I found all my paperwork from when i changed my mortgage provider from Northern Rock to Hinckley & Rrugby in 2003. They charged a deeds despatch fee of £80 and a discharge fee of £95. I copied the templare letter and asked for a refund with interest.They replied to say that their discharge of mortgage fee was £100 at that time and will agree to send me a cheque of £75. I have to sign an acceptance declaration within 10 days.They made no mention of any interest to be refunded. I would first like to thank Martin, especially for his template letter. Just wondering if i should sign the declatarion to accept their terms ? Any advice would be greatly appreciated . Thank you

They aren't required to pay interest. The FSA ruling said nothing about interest. There's no reason not to sign their agreement and accept their cheque for £75.

Angels7

Hi - I am new on here and would like to ask a question? Thanks to this site I claimed back £100.00 off my last mortgage exit and am delighted - many thanks for the information. What I would like to ask is my parents paid off there mortgage early back in the mid 90's - would they still apply to claim back??

Many thanks

marco1com

my cheque book and card were stolen in 95/96 and I was on holiday while someone was spending money on my cheques, when I returned my account was overdrawn by about £3,000 which I was told I had to pay back as I didn't have insurance? (I had to go through a very distressing interview with C.I.D. even though they weren't paying the money into my account) I gave the bank my shares to the value of about £800 and tried to pay off the balance, but I was struggling as I had a mortgage and a home improvements loan with that bank. In 2003 I had to sell my property or lose it. Was all the interest that the bank put on my account legal and is there anything I can do to claim any of it back and/or the mortgage fees back?

Henniepennie

I was told by the Lloyds (C&G) adviser (dimwit) that was there was no exit/ admin fees? strange
I argued it was £225 but thought I had a good chance of claiming it back so I decided to swithch to a better rate. They offered 6.33% fixed rate for 2 years.(£38450)

I have remorgaged with Aliiance and leicster 6.24% for 3 years but now panicing as C&G exit fees are £225 and were clearly stated in our mortgage document when we took it out. So do I have no right to reclaim charges? The lender tells me charges are routine.

Now I am panicing that I have remorgaged and actually cost myself more :mad: and now I am getting in a big flap. I read the site and the book and I think I have still cocked up! as the charge of £225 may be more than the actual saving made from switching. My head hurts and my pea brain can no longer calcuate.
Can anyone offer advice or clarify, I am not thick just a working mum that gets no sleep.:huh:

MarkyMarkD

It doesn't half explain why mortgage lenders don't make any money, Henniepennie, if people like you will remortgage to save 0.09% on a tiny mortgage.

Your annual savings are less than £35, and you'll have incurred a £225 MEAF in order to get those savings. And then you'll have to pay A&L a £295 MEAF when you leave them - if you leave them - so that's another £70 increase compared to just paying C&G £225 when that mortgage ends.

Your C&G MEAF will have been shown in your redemption statement which you could have seen before starting the remortgage process. I'm confused as to why there seems to have been any confusion between £225 and £0, and also confused as to why you thought you would be able to reclaim it.

A bit more rational thought before leaping into major financial decisions might be recommended!

MarkyMarkD

Angels7 wrote: »

Hi - I am new on here and would like to ask a question? Thanks to this site I claimed back £100.00 off my last mortgage exit and am delighted - many thanks for the information. What I would like to ask is my parents paid off there mortgage early back in the mid 90's - would they still apply to claim back??

Many thanks

No, for two reasons:

- one, MEAFs hardly increased year-on-year until around 2004 so any claim amount would be buttons; and
- two, if it's over 6 years since they redeemed (and it is) their claim is time-barred.

Michaelangelo

I phoned Alliance and Leicester today about MEAF as I have changed to Skipton (terrible terrible rude and insulting service from A&L staff over the last few years in answer to civil genuine questions !) They said not entitled to any money back (surprise surprise) as although I have been with them for 16 years, because I have been having a 2 year discount rate every two years for the past few years the last one being October 2005 the contract starts then so no go. Can anyone tell me if this is right ?

Noz

Michaelangelo wrote: »

I phoned Alliance and Leicester today about MEAF as I have changed to Skipton (terrible terrible rude and insulting service from A&L staff over the last few years in answer to civil genuine questions !) They said not entitled to any money back (surprise surprise) as although I have been with them for 16 years, because I have been having a 2 year discount rate every two years for the past few years the last one being October 2005 the contract starts then so no go. Can anyone tell me if this is right ?

Very possible, it really depends on what T&Cs you agreed in October 2005

dunstonh

A&L are correct in their response as the charge didnt change between 2005 and current. The FSA ruling is that the lender should refund the difference between what you were charged and what was the charge was when you signed your last contract. As you were going with 2 year deals (expensive way of doing it) your last contract in 2005 is the one they go by.

Michaelangelo

dunstonh wrote: »

A&L are correct in their response as the charge didnt change between 2005 and current. The FSA ruling is that the lender should refund the difference between what you were charged and what was the charge was when you signed your last contract. As you were going with 2 year deals (expensive way of doing it) your last contract in 2005 is the one they go by.

Thanks, looks like they have got me again. So glad to be changing to someone else. can't tell you how unpleasant they have been over the years when I have asked them questions about rates, product fees etc