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Redemption Fee Unfair??
ZD0701
Posts: 3 Newbie
Hello,
I had to pay off an A&L mortgage early due to divorce. They charged me a hefty £1700 ish redemption fee even though the fixed rate was only 1 month away from coming to the end. I could not afford to wait to move as divorce needed finalising. I was unable to take out a mortgage with A&L on the new property on my own as the mortgage I needed was less than the minimum £25k A&L would offer at the time....Having read some bits on the forum does anyone know if I stand a chance of claiming the fee was unfair???
Many thanks
I had to pay off an A&L mortgage early due to divorce. They charged me a hefty £1700 ish redemption fee even though the fixed rate was only 1 month away from coming to the end. I could not afford to wait to move as divorce needed finalising. I was unable to take out a mortgage with A&L on the new property on my own as the mortgage I needed was less than the minimum £25k A&L would offer at the time....Having read some bits on the forum does anyone know if I stand a chance of claiming the fee was unfair???
Many thanks
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Comments
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They charged me a hefty £1700 ish redemption fee even though the fixed rate was only 1 month away from coming to the end.
That would be an early repayment charge. Not a redemption charge.Having read some bits on the forum does anyone know if I stand a chance of claiming the fee was unfair???
ERCs are not considered unfair and exist for good reason. Unfortunate for you but there is no wrongdoing here.I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.0 -
Nothing unfair about it at all.0
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Because, as I said in my post, I was not in a position to.0
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Shouldn't your ex pay half? I.e. the equity in the house would be reduced by £1700.00 therefore yours and your ex's half of the equity would be reduced by £850.00 each?Because, as I said in my post, I was not in a position to.Always get a Qualified opinion - My qualifications are that I am OLD and GRUMPY:p:p0
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