Overcharged on mortgage for 8 years

mortgagetakingages

I would say give it me back plus 8%. Then pay it back into mortgage. 

Peter74

Thrugelmir said:

You've overpayed not been overcharged. There's a difference. Overpaying has been to your benefit. 

Surely the overpayment has to be voluntary for there to be a difference?

MWT

Peter74 said:

Surely the overpayment has to be voluntary for there to be a difference?

Not really, the difference is plain, an overcharge would have not reduced the mortgage, the overpayment did reduce the mortgage.

It was a forced overpayment which was not agreed, but it was an overpayment and that has reduced the balance.

MWT

jpritch said:

Thanks Theoretica
i do relies this has come out in my favour but yes to your question i have plenty of evidence that i have paid high interest during that period on other debts, i owe more on other credit than is outstanding on the mortgage...

Then present that evidence to the bank and request appropriate compensation, you should be able to calculate how much you would have saved by netting the mortgage interest that you did save from the amount you could have saved at the higher rate on the other loans...

dimbo61

If you were overdrawn on your current account the bank will now charge you 39.9% so bear this in mind. 
Check the Apr you have had on any credit cards or overdrafts/loans and see what they say.

mortgagetakingages

Standard interest is 8% i would be seeking at least that

Peter74

MWT said:

Peter74 said:

Surely the overpayment has to be voluntary for there to be a difference?

It was a forced overpayment which was not agreed

Precisely.  So the OP was overcharged, which resulted in overpayments.  Simple stuff.

getmore4less

Why don't people check their payments?

Anyway lets look at some numbers 
if we call that 8years /96 months 
£4500/96 = £46.88pm

They re paid £121 in interest charges 
that does not look right unless you had a very good mortgage rate.

amount	rate	payment	interest
£4,379.00	0.68%	£46.88	£121.43

What was your mortgage rate?
base rate has been low all that time lets say 2% interest

£4,156.00

2.00%

£46.88

£344.80

that monthly amount would have been very useful towards other debt accrued 

what rates were your other debts?
20% would look like

£2,237.00

20.00%

£46.88

£2,261.69

I would ask for a breakdown on how they got 121 in interest.
if you provide more detail information on your mortgage and the dates the rates changed it will be possible to calculate the amounts.

dunstonh

As this charge was each month since 2012 until last month and not my choice do i have recourse to a claim for compensation ?

Have you lost an arm or  leg?  Has it prevented you from working?

What compensation do you think you are entitled to above the normal redress method that exists? (payment of statutory interest minus the interest saving though overpaying)

csgohan4

Is your debt interest higher than the mortgage interest? If they were you may have a case, but at such small amounts, it wouldn't be much, you also need to factor in the higher mortgage costs of not having that amount overpaying your mortgage.