Remortgage panic - am I paying twice??

AD13

Hi hope you can help. My current deal with nationwide ends tomorrow (1 Oct), our remortgage with Santander hasn't gone through yet. For info - we're using the Santander solicitor.

I just spoke to Nationwide and they said on the 3rd Oct, £959 will be taken from our account, as opposed to the usual £724 because we'll have been switched to the standard variable rate.

My question is, will I be out of pocket for the £959? Nationwide have said the solicitor hasn't requested the redemption figure yet, which means it'll be a while before we complete. Will I get this money back at completion? or will it get 'taken off' the new Santander mortgage and therefore our payments to them will be slightly less?

Totally panicking here that I'm going to be nearly £1k out of pocket

kingstreet

Your redemption figure will be reduced as a result of the payment.

As a result, the solicitor may have (more) money left over after repaying Nationwide and this will be forwarded to you.

AD13

Thank you. I did a live chat with Nationwide and they said only if the redemption statement is requested by the solicitors today, will we get the payment back - otherwise we won't. So I'm desperately trying to get hold of them and all they keep saying is "we'll request it". grrr

kingstreet

You have to know what questions to ask.

If you ask "will I get the payment back?" the answer is yes, "but only if the redemption statement is requested today".

If you ask "will the part payment be refunded if the remortgage is completed before the next payment?" the answer is "yes, because the payment will reduce the capital balance on the redemption statement".

Money doesn't disappear into thin air, you pay for the time you owe, nothing more, nothing less. If you are paying Nationwide, you are'nt paying Santander. There may be a difference if the rates determine the monthly payments aren't the same...

[Deleted User]

If you borrowed £150k from Santander but by the time your mortgage completes your balance with Nationwide is £149000 then the solicitor will be left with £1000 so will pay it to you.

There are a few lenders that do like for like balance remortgages but its mainly the hsbc companies as far as i know