Settlement figure for mortgage states no ERC, can lender request ERC later on?

menollyke

Just a quick question. If mortgage company sents a settlement statement to the solicitor to redeem a mortgage and they have stated 0 to the ERC, can they come back later and ask for the ERC to be paid? Or is the settlement figure final settlement they sent to the solicitor a legal binding document?

I assume they can still come after us for the ERC? This is the only reason to stop us moving to another lender. (see other thread 'Nationwide is doing my head in') Am just hoping we could just change lenders.

Thrugelmir

Are you porting your current mortgage deal with the nationwide?

menollyke

We were planning to, but have completed on the sale of the property just over a month ago. We were told they would charge us the ERC up front and repay it when our mortgage would be drawn upon again. However they never charged us the ERC in settlement figure.

Thrugelmir

Then the ERC liability remains if you fail to port the mortgage.

holly_hobby

There was a recent thread on this very subject, and there was lots of discussion.

The ERC will be payable if you don't affect/port your NWide mge within the defined timeframe they have given OR of course you chose an alternative lender to fund your new mortgage....

Hope this helps

Holly