My lender did not apply the new fixed rate upon remortgaging - now apparently on SVR!!!

wuvuddicu

Dear MSE Community,

I have recently remortgaged my 2 mortgages (both with same lender, and old mortgage still with same lender) to a fixed rate. No problems with one of the two, but for the second the new rate hasn't been applied and am now on their SVR. I paid rather hefty fees to access to their lower rates, and during the remorgaging process the lender reassured me multiple times I was to pay the fees only once to have the new fixed rate applied to both morgages.

A few days ago I called the lender, they confirmed it's their mistake, and promised me to fix the problem immediately and call me back by the end of the day. Unfortunately, looking at my mortgage account, the problem does not seem to be solved, and never heard back from them.

I tend to undervalue my rights, and generally let things go past. In this occasion however I would like to see how to maximise my rights upon this error, plus the lack of communication from my bank notwitstanding their promises, which is now bringing significant stress. I tried to look online but could not find anything similar other than the case of "underfunding". Before I call them back I would like to know what are my rights and how to maximise on this error. For example, can I access to the even lower rates currently available, or get an appropriate compensation other than simply "fixing the figures" on my statement, or both?

Many thanks!!!

[Deleted User]

The purpose of making a complaint is to allow the bank to put things together in the way they would have been should the mistake not have happened.   Its not to put you in a better position, and its not to put them in a better position. Its to correct the mistake and put it to the place it should be. 

Separate to this you can request a payment for the inconvenience of having to take time to chase this and for distress caused by the error.   

I used to do complaints for Halifax and Lloyds,  if i had this I would backdate all the changes and recalculate the interest charged,  Refund any overpayments, and then offer £50 for inconvenience.   If you were lucky you might have got more but i wouldnt have gone above £75

wuvuddicu

Many thanks Deleted_User, makes sense, and many thanks for the advice! Will chase them back!!!

kingstreet

Ensure your terminology is correct. You have switched products on your two sub accounts, or taken customer retention products with your existing lender. A remortgage is a new mortgage with a new lender to repay the existing one.

Make a complaint. Explain what has gone wrong and what you want done to put it right. As JMA says, expect the rate to be applied from the correct date and an inconvenience payment.

getmore4less

Were both subaccounts ready to switch without ERCs?

Thrugelmir

You only have one mortgage and two sub loan accounts. May take a few day to rectify the situation, 

MalMonroe

Put your complaint in writing.

Outline what you agreed would happen and what actually did happen. 

Tell them how you have been disadvantaged and tell them that you would like them to put things right.

Stick to the facts, though and just outline the problem and what they need to do now.

I agree with what Deleted_User says above too and would request a payment for the inconvenience of having to take time to chase this and for distress caused by the error.   

Putting things in writing is always the slower option but when you do that you always have a proper record. When you have phone calls, things are very often misconstrued and forgotten. Even if they say "all our calls are recorded" things go astray. That's happened to me before. 'Oh sorry, we can't find that one', they say. The problematic phone calls are always the ones that mysteriously disappear.