Fees for mortgage

in_need_of_help_please_2

Hello, I am looking for some advice. I am with a mortgage broker who has got me a 4% rate due to a very small default from 2016 for a phone and a run of missed payments from 2018 (all cleared and paid in full by end of 2018). Other than this there was a dmp in place that was completed earlier than arranged in 2017 but nothing else adverse on our credit reports. We accepted that we would need to go with a slightly higher interest rate but does this sound about right? Also when I asked about all fees to be paid I was given an amount but have now been told that the broker has 2 payments, 1 broker fee and 1 processing fee. I'm confused as to how this could be missed off and have queried it but haven't received a clear answer just that it needs paying. I have already paid out a large amount of the fees so couldn't go elsewhere or really want to but I need to know I'm not being taken for a ride. Any info much appreciated.
Thank you in advance

ACG

The broker should be giving you a breakdown of all of their fees before doing anything. 
You will have an illustration and section 4 should also confirm all of the fees. 
What money have you spent so far? 
How far into the process are you? DIP/Offer/Legals? 
Through us our customers only upfront fee is usually the valuation fee and that is only chargeable after the underwriting. Some lenders charge an application fee of around £150 but you should know about that before agreeing to proceed. 
4% sounds about right from what you have said. 

in_need_of_help_please_2

We have already paid £650. Solicitor wants more this week. Will have a look if I have an illustration, I camt remember being sent one but it may have slipped by. 

ACG

You should only be instructing legals once you have a mortgage offer really unless you are in a rush to complete. 

If you do not have a illustration and you have not been given a terms of business (may be referred to as an IDD) and/or a fee agreement, they have not followed the procedure brokers have to follow. We are heavily regulated and part of that is being very clear in our fees upfront, there should be no ambiguity or confusion. 

[Deleted User]

1 broker fee and a separate processing fee sounds like the broker is using a packager to do the application. 

I have to do this for certain lenders as I am tied to my networks rules. The really specialist lenders don't take my business direct so have to go through a 3rd party. 

Check the mortgage illustration, who is the £150 payable to? 

ACG

Deleted_User said:

1 broker fee and a separate processing fee sounds like the broker is using a packager to do the application. 

I have to do this for certain lenders as I am tied to my networks rules. The really specialist lenders don't take my business direct so have to go through a 3rd party. 

Check the mortgage illustration, who is the £150 payable to? 

I think TML charge a £150 application fee, so it could be them. But point still remains that the customer should know about all fees (where possible) before spending any money. 

in_need_of_help_please_2

Thanks both. Sorry for the delayed response. I have looked at the forms that were sent over and it does show that the amount is correct but when I have messaged the assistant and called for a breakdown of fees she missed £300 off it which is why I thought it was strange. Now i have re-read the forms it's all slotted into place. Now have another issue though. A part of our deposit is a gift from my mum. She has already had to fill in 3 different pieces of paperwork and now the solicitors want her bank statements proving where the money has come from etc. She is a very private person where her finances are  concerned so Im worried that she will oppose to giving them although she said she will. Her money is from the sale of her old property and inheritance but these were both about 4 years ago. Are they going to push for the statement showing these payments into her account? 

[Deleted User]

I doubt it but I wouldn't bet money on it.  I've had a solicitor go back 3 years before but usually they will be happy with 6 months statements showing the money has been in there for the full time. 

If she is too private to give a solicitor her bank statements then either you need to talk her round, or just cancel the whole thing just now and stop spending your money.