Target HCA Fees

magnemite

Hi, I was wondering if I could get some advice. We have a help to buy loan via Target HCA that has us buy our home as we are first time buyers. We bought our house December 2016. We have had yearly statements telling us that we are not being charged any interest yet, and that we are not being charged any fees.

 

On 24th April 2021, we received a letter from Target HCA telling us they had made a mistake and that we should have paid £1 a month since December 2016 in management fees and that we owe them £51. I have replied telling them we are happy to pay from the date of their letter but we have had yearly statements saying we owe nothing and I don’t feel we should pay because they have made a mistake.

 

The email reply appears  very generic pointing out the clause in the contract that states we should have paid fees and acknowledges they have made a mistake.

 

Basically my question is do we have to pay the monies? We will of course pay from April this year.

 

Thank you for your time

Viki2410

Of course you have to pay them. The £1 per month admin fee is detailed very clearly in the literature you're given when you sign up. I know this because I have one and I chased them to set it up as I had heard nothing 6 months in.

They made a mistake, but so did you.

dimbo61

You will be paying interest on the help to buy loan starting from December.
20% or even 40% of the purchase price !

ukri

magnemite said:

Hi, I was wondering if I could get some advice. We have a help to buy loan via Target HCA that has us buy our home as we are first time buyers. We bought our house December 2016. We have had yearly statements telling us that we are not being charged any interest yet, and that we are not being charged any fees.

 

On 24th April 2021, we received a letter from Target HCA telling us they had made a mistake and that we should have paid £1 a month since December 2016 in management fees and that we owe them £51. I have replied telling them we are happy to pay from the date of their letter but we have had yearly statements saying we owe nothing and I don’t feel we should pay because they have made a mistake.

 

The email reply appears  very generic pointing out the clause in the contract that states we should have paid fees and acknowledges they have made a mistake.

 

Basically my question is do we have to pay the monies? We will of course pay from April this year.

 

Thank you for your time

I had to go through their complaints process but at the end they agreed to waive the first 2 years and I only had to pay current year onwards.