Halifax mortgage late payment fees

MCGONIS

Hi everyone.

Was hoping for some advice.

In 2011 my mum and dad received a refund of PPI on their Total Mortgage Protection from this bank. The refund was no where near the correct amount. I returned the cheque with further old statements to show the refund was wrong. Along with the letter I asked that all the late payment fees be refunded.

They issued the correct amount after a few weeks but wrote saying they will not be refunding mortgage payment late fees (£35 for each one) as these were detailed in the terms and conditions.

Well my mum and dad were happy to accept the cheque and move on.

However recently I was reading about banks re-opening cases where late fees were not taken into account when they calculated PPI refunds. (think it was more credit card companys it related to)

Just wondering if I could go back to the Halifax now, when the letter they sent was December 2011.

Appreciate any advice.

dunstonh

However recently I was reading about banks re-opening cases where late fees were not taken into account when they calculated PPI refunds. (think it was more credit card companys it related to)

Its not quite as simple as that. Whilst the rules do state that they have to consider the consequences, you dont actually see that many successful cases on this front because most of the time, the PPI premium each month is very small and the outcome would still have occurred whether the PPI existed or not. There is more success where the PPI is built into the debt (such as credit card or loan).

In the case of the Halifax TMPPP, this was a standalone product. So, it had no impact on the mortgage direct debit. Now, if it was a case that they only exceeded their overdraft by less than the amount of the PPI payment each month they were charged, then they may well have a case. However, if the amount exceeded was greater than the PPI payment, then the PPI actually did not change any outcome.

brown1950

MCGONIS wrote: »

Hi everyone.

Was hoping for some advice.

In 2011 my mum and dad received a refund of PPI on their Total Mortgage Protection from this bank. The refund was no where near the correct amount. I returned the cheque with further old statements to show the refund was wrong. Along with the letter I asked that all the late payment fees be refunded.

They issued the correct amount after a few weeks but wrote saying they will not be refunding mortgage payment late fees (£35 for each one) as these were detailed in the terms and conditions.

Well my mum and dad were happy to accept the cheque and move on.

However recently I was reading about banks re-opening cases where late fees were not taken into account when they calculated PPI refunds. (think it was more credit card companys it related to)

Just wondering if I could go back to the Halifax now, when the letter they sent was December 2011.

Appreciate any advice.

On the subject of Late Payment fee's


What is an unfair fee?
It is about the size of the fee and how it's charged:

• Excessive fees. One of the clearest examples, the FSA says, is where the charge is higher than the administrative cost to the lender. If it costs £10 to send a letter but the charge is £35, that's £25 too much

roonaldo

MCGONIS wrote: »

However recently I was reading about banks re-opening cases where late fees were not taken into account when they calculated PPI refunds. (think it was more credit card companys it related to)

Like Dunstonh said they are meant to look at consequential loss but it needs to be show that the PPI led to these. i.e. If the customer was already thousands overdrawn or were withdrawing £200 cash everyday or spending a fortune on eating out/gambling etc , then PPI was obviously not the cause of the financial difficulties.

They may be refunded is if their balance was say just in the black each month and the PPI tipped them over being overdrawn, which is actually rare. You could also argue the fees were excessive, but may only get a partial refund.

Halifax may just refund as a gesture of goodwill. Get a complaint in, you may also need to provide bank statements.