Mortgage Discharge Fee

SkylineDriver

Hi guys, I am after some help please.

We currently have our mortgage with Northern Rock and it is on a fixed rate for another 4 years (we have had the mortgage for 1 year). We have just purchased a new property and Northern Rock are transfering our existing mortgage on the fixed rate to the new property and lending us more money obviously.

I have received today a copy of the redemption statement that will be going to my solicitor and there is a £250.00 Discharge of Mortgage Fee, am I right in thinking that this is the same as the MEAF? Does it have to be paid even though I am staying with Northern Rock and keeping the same product??

Before I ring Northern Rock to ask about why they are charging this I would appreciate anyones help and advice on the matter.

Thanks
Claire

MarkyMarkD

The fee is for redeeming your original mortgage. You are redeeming your original mortgage. The fee (which is an MEAF, as you state) is therefore due. The fact that you are porting the product doesn't affect this.

Indispensable_Hobbes

The discharge fee is for the administration involved in removing the charge from the property etc.

Depending on when your mortgage completed will depend on how much this fee is as stated in the MEAF article.

Jan 07 - £250
5 years ago - £150