Mortgage Payment - How's it allocated?

ScottySmog

I've recently remortgaged my home and think my solicitor overpaid my old lender. I've got a mortgage statement from my old lender dated 31/3/07.
My solicitor then settled the old mortgage on 13/4/07. However, I made a payment on 1/4/07 by DD that doesn't seem to be taken into account. Now I realise I can claim the "capital" element of the payment back but my question is:

Was the payment on 1/4/07 paying:
a) Interest from 1 - 31/3/07 (i.e In arrears)
b) Interest from 1 - 30/4/07 (i.e in advance)?

If a), I can't get anything back. If b), then I assume I can get the interest from 13/4 (the date the old loan was settled) - 30/4.

If there are any flaws in my logic, please advise :rolleyes:

Thanks in advance for any advice.

maninthestreet

You need to check the paperwork for your old mortgage, (you still have this paperwork, don't you?), to see if you were paying in advance or arrears - I believe a payment on the first of the month may mean you were paying in advance, as I do with my mortgage. Just after completion of your mortgage, did you receive a final statement from your solicitor listing all outgoings / expenditure and monies received?

payless

Chances are the interest would likely to have been charged correctly
( redemption statement , say £x owing + £p per day interest)

Check the lender's closing statement ( ask for one if not rec'd) to confirm solicitor sent right amount ( against his statement of account ) , and if
incorrect

( or if last payment was not allocated - not likely here , but not unusual if dates are closer)

then you should get refunded automatically- but as it been 2 weeks+ , chase

ScottySmog

Thanks for your replies payless/man in the street.

I have got all the paperwork but I'm working away at the moment so I'll check it when I'm home tomorrow.

As payless states, it's 2 weeks + now since the mortgage was closed so I'm hoping there's a cheque on the doormat

Thanks again! :beer: