"Introducer Fee" on purchase

sxc07u

Hello

I've just received the contract for purchase of a property from my conveyancer. They have included an "introducer fee". I was recommended the conveyancer by my mortgage broker who I accepted. In the solicitor's terms of business they state they were paying the broker money, but no mention of passing that fee on to me. In their fee breakdown estimate there is also no mention of this fee.

This is the first I've heard that it is paid by me, so I'm not too happy about it.

Does anyone here have experience in contesting/refusing this fee? Do I have a leg to stand on if there is nowhere where it is mentioned in the terms of business?

Cheers

dgtazzman

If it's not mentioned anywhere in paperwork you have signed (check the small print), I'd tell them to remove it. I certainly wouldn't be all too pleased and would be doing anything not to pay it.

Raise a complaint with them, settle the rest of the bill, but leave the amount of this fee outstanding, pending the result of your complaint. There must be a governing body for solicitors you can get involved if needed...

horseymchorseface

your solicitor was not one from the Estate agent was it?

davidmcn

dgtazzman wrote: »

settle the rest of the bill, but leave the amount of this fee outstanding, pending the result of your complaint.

The solicitors are unlikely to complete the transaction until their bill is paid.

eddddy

As a first step, ask them how and when they made you aware of this fee before you signed the agreement with them.

(It's often best not to go in with 'all guns blazing' at this stage, just in case it was stated prominently and you simply missed it.)


If you do decide to challenge the fee, it's probably best to pay it saying you are doing so 'without prejudice' or 'under protest' - and argue the case later. Otherwise, as davidmcn says, they may refuse to complete the purchase.

ACG

Call your broker, ask them if they are going to have the fee taken off or if you need to find a new solicitor. If you find a new solicitor the broker will have to spend time altering the application so it will be easier for them to get the fee taken off...Ask them to confirm it in an email.

This is one of those things a lot of brokers/estate agents do. Personally I prefer people to use my solicitor as I know she is good and so I do not get any kickbacks.

It is not too late to get out of paying it one way or the other.