Nationwide ripped me off?

stewart.paul

Hello

I have just completed on a new morgtgage and got a letter through post from Nationwide about details of my first payment

It would appear that within one month of completiong they will charge me TWICE for the interest. The letter states that the first payment to be made will charge interest for the month of completion PLUS the normal mortgage payment. This is outragous. I completed on the 6th of June and my Ist payment date is on 2nd July. I should be paying £1004 per month, but with this payment, they will require and additional £650 in interest, subsequent payments after this will be at the £1004. Does anyone know if this is common? I will call Nationwide, but wish to get some of your comments beforehand. This is a totally new mortgage, therefore the interest has nothing do do with a previous one, as that was redeemed. There was no mention of this being the case in the offer

Please. Please give me your opinion before I start shooting my mouth off to Nationwide, thanks

pollyanna24

I have had two mortgages with Nationwide, and the first payment was always more than the subsequent payments.

From what I can recall from last year (not that long ago I know), I completed on 27th April, and in the middle of May, they took a payment for interest from 27th April to 30th April and interest and repayment for the whole month of May.

Come 1st June, another payment was taken for the month of June.

toonfish

this is entirely normal, and most of the lenders operate in the same way

marybryant

This is standard procedure for all lenders, though it doesn't seem fair. If your solicitor had been on the ball, he/she would have advised you of the best date to complete your mortgage, so that you minimise this extra payment. I've had many mortgages and remortgages with lots of different lenders. My solicitor has always advised me when was the best date to complete.

Now that you know this happens, at least in the future you'll be able to ask the lender or your solicitor what would be the most advantageous day to complete the mortgage. When it's on the purchase of a new house, this is often difficult to do, because you've got to fit completion date in with the chain of purchasers and vendors.