what do I do now ??

raq

In the process of changing over mortgage lenders as we have passed our 2 year deal. Spoke to our financial advisor on Monday as soon as I had the new paperwork through to ask if all figures where correct as we don't want a huge shortfall fromthe solicitors . No problems was his answer you should be quids in.....

So you can't begin to imagine the solicitors letter that I received today to say there is a shortfall of £1,928.50. Oh my god I thought, where am I gonna get that kind of money by tuesday morning for them to do the completion....

I got the £928.00 as this is November 2007 direct debit as this was due out this coming tuesday 13th November. Still what do I do ??

I feel that I have been let down by my financial advisor who we have dealt with for 12 years ???

I have checked and checked the figures. We have asked to borrow £131,000.00 and the £999.00 fee on top. So the paperwork from the new lender states £132,049.00 WHICH IS CORRECT, but the solicitors to staying £131,000.000. If we did pull out and waited another year until my husband got another full years books, ( he is self employed ) what costs would they through at us. i.e. solicitors.

Any help would be appreciated as I don't want to continue worrying about this until monday morning when the offices are open.

Thanks

herbiesjp

It could be that the outstanding mortgage figures you gave to your adviser were too low, and your actual mortgage is the slightly higher figure needed.

Most offer letters normally allow for a little leeway, so it could simply be added to the new mortgage

raq

thanks for the quick reply but if I do pull out now and say wait until next september , would i still have to pay solicitors costs ??? financial advisors cost ( £250.00 ) are paid upon completion.

raq

raq wrote: »

thanks for the quick reply but if I do pull out now and say wait until next september , would i still have to pay solicitors costs ??? financial advisors cost ( £250.00 ) are paid upon completion.

still worrying about what to do. Myself and hubby have decided when we ring him tomorrow to still go ahead with the remortgage and see what the additional costs would be for another year. can't see any other way.

herbiesjp

I'm a bit confused by your post.

Firstly you need to find out why there is a shortfall - that way you can understand if there has been a mistake i.e. you though the mortgage amount was £131k instead it should be £132,928.

If that is the case then you are stil simply tranferring over the correct mortgage amount, so I can't see what the problem would be

I don't see why you would think of not proceeding, just to wait a year - as a year down the line you would then re-mortgage on the current mortgage value, just as you are doing now.

Or is that £1928 a redemption penalty? If so you need to find out when that penalty charge expires

Apologies if I have totally mis-understood your post

merlinthehappypig

I think you need to check this out, but the redemption figure quoted by our solicitor when we sold earlier in the year was considerably higher than the actual figure, almost £1500 more as I recall. He had calculated this using the figure given to him by the bank a couple of months earlier, hadn't taken into account any repayments and had added some on for 'additional interest'.

We got the overpayment back very promptly from the bank.

raq

hi all

managed to speak to our financial advisor on monday morning. GMAC are previous lenders put down £877.49 charge. Although we where way out of our 2 year fixed deal the details from the paperwork, in small print states at any time after the deal they charge one months interest. Gutted to say the least. As our f.a. only noticed this when I rang he is not charging us his fee because of the error and also with the deal we have £500.00 back from our new lenders, so we haven't got to pay out as much as we thought. Didn' really want to wait another year. Always best to check as some paperwork can be incorrect.

herbiesjp

Are you sure Gmac do not waive the fee if they get 1 months written notice - this is the case with a lot of other lenders

raq

i will ring them this minute and go from there.

thanks for this advise.

will keep you posted

Leon_W

As herbie states. Gmac (as far as I am aware) require EITHER 1 months interest OR 1 months written notice after the Early Repayment Charge period ends. Therefore it may save you some cash by giving them notice and waiting an extra month to complete on your remortgage.

Regards

raq

hi again,

okay after all the phone calls, yeap you are all right. Gmac was great on the phone. I have just typed up our 1 months notice so that saves us hell of a lot of money. Don't call this site moneysavingexpert for nothing do they.

Anyway, really chuffed on this. Spoke to my f.a. who said , "Well done" on the investigation side of things. I feel that maybe he should have been doing in and how many other people like ourselves just wouldn't have looked into it. should we go ahead and pay him the £250.00 fee ??? The solicitors also told us to cancel our d.debit as it was due out tomorrow and after chatting about this I shouldn't have. Now GMAC is going to charge us £30.00 for the returned d.d. , although it isn't returned. She said to try and get this back from the solicitors as it is their fault ??? I paid my mortgage over the phone via my debit card..

Thanks guys again