Made overpayment on Bank Holiday Friday - charged interest until Tuesday

glider3560

I made a substantial overpayment to my Halifax mortgage on the Bank Holiday Friday by Faster Payment. It arrived immediately according to my bank.

Halifax only credited this to my mortgage on the following Tuesday.

Interest was added yesterday, and I see they've charged for the four days between Friday and Tuesday.

I've checked the T&Cs and can't see anything about when payments would be credited (like they have for credit cards).

Since they've had the money for those four days, am I right in asking them to amend the interest to take this into account?

TrickyDicky101

What was the overpayment and what's the interest rate on your mortgage? One or other would need to be truly substantial to have a noticeable impact.

You may find that there are T&Cs somewhere detailing this but you *could* raise a complaint to the bank and they *might* credit your account to make your complain go away (ie effectively goodwill).

Bermonia

As the bank holiday Friday and the weekend are not considered working days then what they have done is totally correct I’m afraid - although as already stated unless we are talking very substantial sums and interest rates not sure the 3 days interest will be worth getting worked up about.

muhandis

For a £25,000 overpayment on a mortgage rate of 2%, the interest for 3 days comes to £4.10. In your place, if I really really wanted to get the extra interest back -

- I would first call Halifax and ask them nicely (note the time and date of the call)

If they refuse,

- I would use their website to make a written complaint referencing the phone call to their customer service.

Based on my experience dealing with formal complaints with various banks, for minor amounts banks are more likely than not to make you whole because it costs a lot to deal with a formal complaint.

glider3560 wrote: »

I made a substantial overpayment to my Halifax mortgage on the Bank Holiday Friday by Faster Payment. It arrived immediately according to my bank.

Halifax only credited this to my mortgage on the following Tuesday.

Interest was added yesterday, and I see they've charged for the four days between Friday and Tuesday.

I've checked the T&Cs and can't see anything about when payments would be credited (like they have for credit cards).

Since they've had the money for those four days, am I right in asking them to amend the interest to take this into account?