Halifax closing fee

tiff456

Hi, first time poster, my apologies if I've got something wrong.

Just hoping for some advice.

We took out fixed rate mortgage in mid 2012 that was fixed for 2 years (so another year of fixed rate yet to go).

Just saw my monthly mortgage payment has gone up.

Phoned up Halifax and was told all mortgages have a "closing fee" on them and they have decided to add the closing fee to my mortgage now! (my mortgage doesn't close for 20+ years).

I think they have managed to pull this off because a month ago without telling us up front, they issued everyone with a new mortgage roll number and thereby closed my account and opened a new one? Maybe that was it.

Anyway its nothing we agreed to or were told about before it happened.

Can they just add closing fees when they like/ 20 years early like this and without consent by giving us a new mortgage number?

PS my documents relating to this mortgage state "no fees apply to this mortgage" so I'm still quite confused about the "closing fee".

thanks for any feedback.

rothchick

I would phone them again, sounds like you were told incorrectly! You can't get charged a fee because of a system change, the only time you get charged a fee is if you close your mortgage early or if you decide to break your product agreement.

kingstreet

Please read your key facts illustration or mortgage offer from when you effected the mortgage. What does it say about the mortgage account fee in section 8.

Does it read;-

Mortgage account fee. The fee is payable on completion and is not refundable. The fee will be added to the loan. This fee is to cover the setting up, routine maintenance and closing down of the mortgage account.

Is it £245?

If it is, you've already had this added to the loan and you are already paying it back, at a rate of 97p a month, interest-free. See KFI section 6.

tiff456

Hi all thanks for the replies.

Section in my contract about fees is only 3 lines long. It states "no fees apply to this mortgage".

However I rang back and was told the person who told me all that I posted above about the closing was basically a complete idiot and its all totally incorrect info!

There is no closing fee on my account. My mortgage has temporarily gone up (while awaiting refund) of a muddle where they added insurance to my mortgage against our wishes.

Sorry for the confusion caused.