Topped up Mortgage Amount - Should I have been charged?

tubbenden1

Hi everyone,

Can someone tell me whether or not Northern Rock have any right to charge me £299.00 three years ago because I increased by mortgage by £14,000? I have written to them, with the help of this website, and they have said that this charge is absolutely fair and I cannot quibble any longer. However, I feel a bit aggrieved and would like to take the matter further - andy advice would be greatly appreciated.

Mr_helpful

Why shouldnt they charge you an admin fee? They have work to do so in the scale of things I cant see whats wrong with it. To Me It's the company's perrogative to charge for their money and its your perrogative to say no Im not paying that and so go without the money.

MarkyMarkD

If you ask any lender for a loan, they can charge you whatever up-front fee they think appropriate. It's your choice to accept or decline the offer.

Further advances are no different.

What in the world have you got to be aggrieved about?

---lee---

OP I agree with the other posters.

Anyone in the same boat these days (as opposed to 3 years ago) may be better off looking to remortgage with a company which does not charge any up front fees - of course they would have to consider exit fees from the current mortgage.

MarkyMarkD

Further loan fees and MEAFs are not that dissimilar, and remortgage products from another lender will tend to have less attractive rates if they have no fees. So I'm not sure I'd agree with ---lee---.

It also depends if you are tied in on your main mortgage at the time you want the further loan - it's quite unusual for all the timing to work out perfectly!