Telegraphic Transfer Fee

20SmthngSver

I've got my mortgage offer and it says that there is a £35 Telegraphic Transfer Fee to transfer the funds of my mortgage to my conveyancer.

Is this a charge by the bank or a charge by the conveyancer? It's on Santander's paperwork, and there's no mention of the conveyancer charging this fee on any of their paperwork to me. However, a google search just now said it's a charge by the conveyancer.

If it's Santander charging me to send the money, then considering the mortgage is for under £100,000.00 and their Faster Payment limit is £100,000.00, why can't they use this service instead of the chargeable telegraphic service?

ACG

If it is on the mortgage offer it will be charged by the bank.

clarey75

I had this with Leeds and then they declined mortgage, can i get it back?

SonOf

clarey75 wrote: »

I had this with Leeds and then they declined mortgage, can i get it back?

Its a fee that is paid at the end. Not the start.

If it's Santander charging me to send the money, then considering the mortgage is for under £100,000.00 and their Faster Payment limit is £100,000.00, why can't they use this service instead of the chargeable telegraphic service?

CHAPS is more secure than FP. It has a double checking mechanism and an acknowledgement built into it. FP does not.

20SmthngSver

I get that, but if Faster Payments wasn't secure then surely it wouldn't be allowed to be used? And furthermore, if it wasn't secure then why does Santander have one of the highest Faster Payments limits of £100,000.00? It just seems a bit contradictory to be charging a fee for something which by their own rules can be done for free.

davidmcn

They're charging a fee because they can (the actual cost to them is of course somewhat less than £35). It's not going to be negotiable, if you really don't like it you can get your mortgage somewhere else (though it's quite common with other lenders too).

SonOf

20SmthngSver wrote: »

I get that, but if Faster Payments wasn't secure then surely it wouldn't be allowed to be used? And furthermore, if it wasn't secure then why does Santander have one of the highest Faster Payments limits of £100,000.00? It just seems a bit contradictory to be charging a fee for something which by their own rules can be done for free.

Does Faster Payment require the receiving bank to check the details and acknowledge? - No.

20SmthngSver

Just log on and have a look like everyone else does. Just seems pretty archaic to me. Especially when they offer a services whereby it can be done for free.

20SmthngSver

davidmcn wrote: »

They're charging a fee because they can (the actual cost to them is of course somewhat less than £35). It's not going to be negotiable, if you really don't like it you can get your mortgage somewhere else (though it's quite common with other lenders too).

I guess the actual cost is actually zero. There are no charges for up to bank limits for electronic methods for personal banking, or business banking. It's just charging for something which shouldn't be charged for. There's a £225 mortgage management fee as well, but as it's an e-mortgage I actually manage... For every £1 I'm borrowing, I'm paying back £1.75. Just leaves a bad taste when they tell you about charges which shouldn't really exist. They make enough as it is.

jim1999

It can't be done by faster payments because FP is not a real-time settlement system.

CHAPS is the UK's RTGS and is used for legal transactions. CHAPS attracts a significant fee for the bank and so they charge for CHAPS transactions.

SonOf

20SmthngSver wrote: »

Just log on and have a look like everyone else does. Just seems pretty archaic to me. Especially when they offer a services whereby it can be done for free.

Since when does the sender have the ability to log onto the account of a third party?

You seem to be missing the point. FP does not do the same as CHAPs despite you thinking it does.