HSBC Random Cheque

goldbach

michaels said:

I got money and I have never had any debt or overdraft or borrowing of any kind with HSBC or ever paid them any charges - go figure (nor any other HSBC branded bank nor indeed any bank)

Have you ever had an account with any of these - HFC Bank, Beneficial Finance, Marbles, John Lewis, M&S, B&Q, Dixons, Currys, PCWorld, Furniture Village, Courts? 

Aurora12

We had a First Direct [FD] Mortgage A/c between 2010 and 5/2013, when it was closed. We were never in arrears. [N.B. I subsequently took out a new sole mortgage in 5/2013, again since closed on moving]. We've received a small cheque re: the first but not the one begun in 5/2013.
Re: the first mortgage, FD wrote to us in 12/2011 after a review of their processes, but insisted we were paying the correct amount and NFA applied. They've obviously traced me to my current address in order to send the cheque, having now reviewed 'Closed' accounts.
The Dec 2011 letter reads: 
"Just lately, we've been reviewing our mortgage processes and in doing so we spotted that some of the figures shown in your original mortgage documents ...... may be incorrect. Don't worry, your documents accurately show both the value and the number of your monthly payments. IN SHORT, YOU HAVE BEEN PAYING THE CORRECT AMOUNT SO YOU DON'T NEED TO TAKE ANY ACTION IN RESPONSE TO THIS LETTER. That said, we think it's only right that we explain the inaccuracy.
The calculation of the "Total to Pay Back" figure, the "Amount to be paid back for each £ of borrowing" and the "Overall cost for comparison" ....... should have included a number of fees. This covers, where applicable things like Booking, Valuation and Arrangement Fees. The documents we provided do clearly show these amounts elsewhere and you have either already paid them or they have been include in your payments. By not including these fees, the "Total to Pay Back" figure will be slightly understated and in a small number of cases it may have affected the "Amount to be paid back for each £ of borrowing" and the "Overall cost for comparison". Please accept our apologies for this mistake........ Yours sincerely ......

Their latest letter now appears to contradict that of the review 10 years ago. It reads:-

"A recent review has highlighted an issue that's impacted a small number of closed mortgage accounts. As a result, we've reviewed your above account and identified a mistake was made with your monthly payments. ....... we didn't set your contractual monthly payments high enough to repay your mortgage in full within the agreed term. This means your balance didn't reduce as quickly as it should and you paid more interest as a result. We're really sorry for this mistake and any problems it may have caused you.
Any voluntary overpayments you made during the life of your mortgage still correctly reduced the interest you paid.
[We had made regular overpayments on top].

It appears to highlight that FD WERE completely aware of the issue at least 10 years ago and didn't make any adjustments!
1) It begs the question - why maintain our payments were correct then - but NOW claim they weren't?
2) Should I have also received a letter/chq. re: my sole account?
3) What else might they have got wrong?

The huge project they and associated companies have been forced to carry out would have been on a much smaller scale if they'd taken THIS action then.

andy073

I find it astonishing that MSE are continuing to push 1st Direct as having "great service" whilst simultaneously publicising this story. This is a bizarre case of hypocrisy from MSE who are normally so reliable.