Broker Fee for declined mortgage application

kingstreet

What do the terms of business you signed to accept say about the refund of fees?

This is the crux. The rest is "he said, she said."

Thrugelmir

selfemployed121 wrote: »

I was under impression that broker will check that lender has accepted me initially and then send all documents.

Did you omit to disclose material facts or circumstances in your application for the mortgage? Both the broker and lender will only be acting in good faith. There's a always a subject to proviso.

dunstonh

That is a fact and I am very right to put his name here on this forum...

The site admin disagree and have removed it.

It was mentioned in our discussions and I was assured that fee is refundable if mortgage is declined. I was under impression that broker will check that lender has accepted me initially and then send all documents. What service has broker provided me for his fees? When I was doing application, he was assuring again and again that fee would be refunded and after that he is asking me to read the small print.

The broker is not required to go through every potential scenario verbally. They are required to give you the charge detail in writing and get an agreement signed by you confirming you accept the terms.

That agreement should state that the fee is not refundable if you commit non-disclosure/fraud. That is the key here. If yours says it is non-refundable, then you have no right to get a refund. If yours doesn't say it then it is refundable.

CommitedToChange

Did you tell the broker about the defaults?

ACG

selfemployed121 wrote: »

Why you say so!
It was mentioned in our discussions and I was assured that fee is refundable if mortgage is declined. I was under impression that broker will check that lender has accepted me initially and then send all documents. What service has broker provided me for his fees? When I was doing application, he was assuring again and again that fee would be refunded and after that he is asking me to read the small print.
That is a fact and I am very right to put his name here on this forum...

Which could well be true, but paperwork will trump what was said on the phone every time.

What do you have that is written down.

I can see the brokers point of view, but paperwork is what will save you or them. If the paperwork says refundable, it is refundable. If it says refundable unless you withhold important information then it will not be refundable by the sounds of it.

If you go in to a court and say he said this that and the other, but paperwork says otherwise then you will not really have a leg to stand on.