Query over mortgage payment when completing the sale?

Mummyto4kids

Hi, am hoping someone can tell me if this is normal or not?


I'm selling a house, we were due to exchange last Thursday so had a redemption statement from my mortgage provider which was valid until the 16th. my mortgage payment usually leaves my account on either the 22nd or 23rd of every month so I assumed no payment would be due this month.


The buyers solicitor noticed at the last minute that there was a typo on their mortgage offer so delayed exchange and completion so that it would all take place today. My solicitor requested a new redemption figure which will be valid for todays sale, but I just checked my online banking and they've taken a full mortgage payment today.


I don't know much about these things, but am thinking that the new redemption statement they have sent through should take into account this payment - does that sound right? I've called the solicitors office but she is out until later today. The admin team are going to check for me, but the lady I spoke to said that pushing completion to this week has cost me more because another months interest will have been charged after the 16th.


I'm sure my solicitor will explain it all to me, just wondering if there are any experts around in the meantime!
thank you

kingstreet

If the payment is made and not included in the redemption figure, it will be refunded back to the account from which it came.

Don't cancel the DDM just yet so it can come back if needed.

Mummyto4kids

Ah thank you - I deliberately made sure I had enough in the account to make another payment if I needed to because of it being so near to Xmas, so sounds like that was the right thing to do just in case!

getmore4less

Always a good idea to have at least double the standard payments hanging around when you are changing lenders.


You have interest on both lots of money for a few days(depending how sharp the convancer is) and depending on timing the normal payments can be close together and any refunds take time.

once the change is complete any excess/refunds can joint the overpayment pot.

MrsH2015

We had this on our last sale. Our usual payment went out 2 days before completion and then got refunded afterwards.

I think when they issue the redemption figures they base them on no more payments being received so it covers them if you then don't pay the normal DD.

Thrugelmir

Redemption statement is based on the balance outstanding at the time plus accrued interest to the date of redemption.

If it included future as yet unmade payments. Then the lender is at risk of not receiving enough money to clear the mortgage. In which event title could not be released.

In the final reckoning you'll receive any overpaid monies back.

Mummyto4kids

Thanks so much everyone - we completed about an hour ago and then exchanged on our new build. The solicitor has spoken to the mortgage company and theyre going to process a refund for me

easilydistracted

I had this and had a payment of just over one months mortgage back a few days ago. Sale completed on the 4th