Halifax early repayment charge (refund?)

*Kat*

Hi all

The new build house that we want isn't available until September, from what I understand, we can get a refund on the early repayment charges from Halifax.

How does this refund come back? Can it be deducted from the deposit amount? Or does it take longer than that?

Thanks!

TrickyDicky101

What early repayment charges? ERC are (in my experience) paid when you redeem a mortgage when you are still within the fixed rate (or applicable discounted rate period). If you have not yet completed, why have you paid any ERC? Have you already sold your existing property with the mortgage on attracting ERC? If so, whey would you need to be repaid?

*Kat*

Tricky, we received an offer today where they want to move in end of June, so we will have to wait for 2months before getting new mortgage

TrickyDicky101

Ah I see - so you will need to pay the ERC on redemption of the mortgage and then you want to know how the ERC will then be refunded assuming you take out your new mortgage within the time limit for refunding the ERC?

Apologies, I think you need a broker to respond to this who will have seen this before (or you could try calling your lender but getting hold of someone who will actually *know* may not be easy).

termhero

In the past I've had a similar gap between mortgages and as I went back to the same provider (C&G in my case), they refunded the ERC I had previously paid.

This was discussed at the time of me taking out the new mortgage and arranged by them then.

Mortgage_Mark_2

Halifax will generally refund ERC if completion is not simultaneous, but within 90 days, in my experience.