Santander Redemption Statement - want me money twice!

noodle_doodle

Dunno if anyone has had this happen before (I haven't), but getting a new mortgage at A.N.Other bank to replace the existing one we have with Santander. Borrowed the necessary amount with A.N.Other ok, but Santander have sent a redemption statement that doesn't count our last mortgage payment yet. Broker says Santander are particuarly useless at this kind of thing, and it will take another 10 days after the money comes out our account for Santander to acknowledge its existence in their pocket, so in the meantime they want a cheque for the difference (as the amount we're borrowing is a bit short of what Santander think they need repaid).

Is this normal? Seems a bit cheeky I have to pay them the same monies twice, and to rub salt in the wound, they are saying this cheque will take 6 days to clear and charge me interest while they wait for that to clear!

You'd think they'd be able to sort this out between them? we have our mortgage broker, A.N.Other bank are acting through their solicitiors and we end up phoning bank call centres... (where, as Frankie Boyle rightly points out, the employees need someone else's permission to go to the toilet so what's your chances of getting any joy out of them?)

Still, rant over

dunstonh

It is not uncommon for an extra payment to be made and get refunded after the event. It really comes down to when in the month you change lenders and when the paperwork was supplied.

Seems a bit cheeky I have to pay them the same monies twice

Problem is that they dont get the money classed as cleared for about 7 days as you could cancel the d/d.

kingstreet

Typically, the solicitor gets a redemption figure which gives a window for the repayment of the mortgage which includes a daily rate for a completion date which ends up later than expected.

During this time, it will be assumed no further payments are made, so I routinely suggest to my clients they cancel their direct debit around ten days before completion will take place.

IMHO it's poor attention to detail on the part of the broker and lack of communication with the solicitor handling the remortgage. Not borrowing enough to cover a slightly raised redemption figure is also a bit poor.

dunstonh

IMHO it's poor attention to detail on the part of the broker and lack of communication with the solicitor handling the remortgage. Not borrowing enough to cover a slightly raised redemption figure is also a bit poor.

I'm pleased you said that as I don't get to see what is issued nowadays beyond file checks on my mortgage advisers. However, the redemption figure always used to say if it did or did not include the next payment.

Although it could also be poor communication from the solicitor as well as the broker.

noodle_doodle

Ta for the replies. Yeh, our broker and their solicitor haven't exactly been communicating with each other well, but what riles us is when they each tell us to phone the banks at either end when that's surely their job, otherwise why are they in the loop?

Thing about cancelling a DD - I can cancel a cheque n all too though? Santander seem to be saying send them a cheque for the difference and that'll get through their system quicker than money they've already taken from me (last payment came out today). Just reminds me of Father Ted and "the money was only resting in that account" type shenanigans to ream a few last pence of interest out of me :-p

Still, I'll do just that tomorrow and get it done and dusted.

kingstreet

dunstonh wrote: »

I'm pleased you said that as I don't get to see what is issued nowadays beyond file checks on my mortgage advisers. However, the redemption figure always used to say if it did or did not include the next payment.

Although it could also be poor communication from the solicitor as well as the broker.

I routinely obtain a copy of the last mortgage statement and ask the solicitor for a copy of the redemption statement. As we approach completion I can then properly advise the client about how the completion date and the monthly payment date will pan out.

If I had a client make a payment which ends up being refunded after a couple of weeks knocking around the lender's system, I'd view that as my fault.