Have I been charged the correct amount ?

wooder

Not sure if this has been asked before - I did a quick search but couldn't pinpoint anything but -

how do I know that my monthly mortgage payments are/ have been correct ? I mean - the mortgage provider (NRAM formerly L&G) just tell me how much and I accept that and pay it. How do I know that they are not overcharging me ? The calculation is going to be fairly complicated given that the interest rates have changed several times over the 20 yrs that I have been paying it plus there have been times when I overpaid into the reserve account (offset ?). Could they be diddling me ? Given the reputation that banks and finance institutions have should I be concerned ?

dimbo61

Bit late now and it is very complex.
With modern computers and online calculators you can work out the interest daily and with most mortgages you are charged daily.
However back in the day Interest could be charged monthly or annually.
When interest rates were 15.2% few bank staff or Moneysavingexpert posters could work out the cost each day/month/year

davidmcn

If they've been getting the sums wrong for you then the same would probably apply to many thousands of other customers with identical mortgage products - eventually somebody would notice, and the regulators would make the bank sort it out. Which occasionally has happened.