Halifax yearly check to ensure monthly payments are on target

cjv

I received a letter in the post from Halifax, to inform me they are introducing yearly checks to make sure my mortgage payments are on target.

To quote "Why your monthly payment may need to change"

If you've made overpayments.
If you've had a fee or cost added.
If you've had arrears.
These changes could mean a change to your monthly payment even if you have a fixed rate mortgage.

I called the number on the letter and it had an automated recording along the lines of "If you have received this letter we can not give you any information at the moment".

I currently make overpayments, does anyone know if this will mean my contractual monthly payment will reduce upon their yearly review, or is it only Halifax that can answer that?

Thrugelmir

Sounds as if your monthly contractual payment will change. All you need do is revise your monthly overpayment.

cjv

Thrugelmir wrote: »

Sounds as if your monthly contractual payment will change. All you need do is revise your monthly overpayment.

I hope that is the case and is how I interpreted it too, I will continue to make my fixed overpayment but if the minimum payment reduces that makes me feel more secure should I fall on hard times

Thanks for the input!.

Sl8r

I received this letter today too.

Confused though as it seems to negate the point of a fix.

What worries more though is their attention to detail, they've got me as a Mrs (im a Mr) amd my wife as Miss [maiden name] despite her changing her name with them. Do I trust them to assess my mortgage payments? :rotfl:

amnblog

A Client asked us about this letter this week so we queried it with ou Halifax contact and were told:

All mortgage customers of Halifax received this, it’s just detailing an annual review where payments may be adjusted if there have been over/underpayments etc. This used to occur alongside Product Transfers only, but there is now an automated review.

getmore4less

Even with fixed rates and fixed payment based on standard amortisation there can be reality drift due to days in the month and real payment dates due to weekends and BH.

This can result in under/over payment of capital.

If left too long the effect compounds.