Was i miss-sold?

[Deleted User]

getmore4less wrote: »

There is something well wrong there if you have a rate of 2.73% and paid a £995 fee.

I would have expected a rate between 1.5% and 2% for any fee based product at 75% LTV

Nothing gone wrong apart from Natwests business model for existing customer retention deals.

I have just logged in to one of my clients expiring Natwest mortgages and they have got this as offer at 85% ltv

5yr £995 fee - 2.13% (broker)
5yr £995 fee -2.54% (direct)
5 yr £0 fee - 3.38% (same direct and broker)

Remortgage market for same deal:

5yr fix £0 fee - 2.02%
5yr fix £995 fee - 1.98% - This is from Natwest but for new customers only!


I dont like Natwest's business model for existing customers, but it does help me win remortgage business so i cant complain too much

rjbell78

Deleted_User wrote: »

Nothing gone wrong apart from Natwests business model for existing customer retention deals.

I have just logged in to one of my clients expiring Natwest mortgages and they have got this as offer at 85% ltv

5yr £995 fee - 2.13% (broker)
5yr £995 fee -2.54% (direct)
5 yr £0 fee - 3.38% (same direct and broker)

Remortgage market for same deal:

5yr fix £0 fee - 2.02%
5yr fix £995 fee - 1.98% - This is from Natwest but for new customers only!


I dont like Natwest's business model for existing customers, but it does help me win remortgage business so i cant complain too much

Is there anyway of getting out of this without paying an excessive early repayment charge? I read somewhere its been a new EU directive where its says the payments shouldnt be so high.

[Deleted User]

rjbell78 wrote: »

Is there anyway of getting out of this without paying an excessive early repayment charge? I read somewhere its been a new EU directive where its says the payments shouldnt be so high.

Its not excessively high. On the same deal I could also give my client a 5.6% deal with bluestone.

They charge more because it is easy. Takes 5 minutes to do your own mortgage as opposed to hours of work to move one to another lender

ACG

Their system probably would not have had the new valuation. Many lenders still use a system that bases their products off the original valuation (I have one going through with Platform at the minute).

As for the EU rules regarding charges, if you can prove those charges are excessive (ie significantly more than their losses if you move) then yes you can have the charges assessed but I think that is unlikely.

You took the easy route (nothing wrong with that), you will typically pay more for that, no different to car insurance, home insurance, sky/virgin, mobile phones, energy bills etc etc.

SonOf

Is there anyway of getting out of this without paying an excessive early repayment charge? I read somewhere its been a new EU directive where its says the payments shouldnt be so high.

There is no EU directive that has changed anything. It has long been established in the UK that ERCs had to reflect the costs. It led to changes many years ago that brought ERCs down in size and since then the FOS has repeatedly found no issues with the level of ERCs.

getmore4less

Deleted_User wrote: »

Nothing gone wrong apart from Natwests business model for existing customer retention deals.

I have just logged in to one of my clients expiring Natwest mortgages and they have got this as offer at 85% ltv

5yr £995 fee - 2.13% (broker)
75% broker fee is 1.76%
5yr £995 fee -2.54% (direct)
5 yr £0 fee - 3.38% (same direct and broker)
75% broker no fee is 2.98%

Remortgage market for same deal:

5yr fix £0 fee - 2.02%
5yr fix £995 fee - 1.98% - This is from Natwest but for new customers only!


I dont like Natwest's business model for existing customers, but it does help me win remortgage business so i cant complain too much

This is now and then it would have been 75% LTV and base rate 0.25% lower

were rates a lot higher back April 2018?

Anyone got the April 2018 download?

This post from Nov 17 might be Natwest and it had 5y fix with £995 fee at 2.87% so 2.73% may have been the going rate early 18.

https://forums.moneysavingexpert.com/showpost.php?p=73344992&postcount=1


there was also this from early 2017

https://forums.moneysavingexpert.com/discussion/5586942/natwest-not-using-index-for-valuations-for-existing-customers&highlight=natwest+year+fix+fee

[Deleted User]

Id say rates have dropped quite a bit in the last 18 months. Especially at the 75% bracket.

I cant find the Natwest deals but I found a 5yr fix remo i did last year:

Barclays £0 fee 5yr fix from Jan 2019 - 2.19%
Barclays £0 fee 5yr fix from today is - £1.97%

Id imagine going back to April 2018 rather than the Jan 2019 would put this up a bit more as well.

rjbell78

Thank you all for taking time to message its much appreciated.