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Nationwide Mortgage Paid Off - Beware!
jimjames
Posts: 18,818 Forumite
One of my mortgages with Nationwide has been cleared this week but rather than taking the outstanding balance by DD they've taken the normal payment amount which means my mortgage account is now in credit by hundreds of pounds. When I saw it happen I thought it would be automatically reversed and payment sent back the next day but after a phone call they've said it can take 15 days. I've got another one that clears next month so asked if they can make sure that they only take the outstanding balance which is £50 or so rather than the full amount and they've now amended the account to do so but I'll see what happens at the time.
With everything going on I was hoping to have a bit extra this month but with the DD going as normal it's not yet worked out that way so thought it might be worth alerting others to check if they have a very small outstanding balance with high usual DD and contact NW before to reset DD. Very surprised it's not their standard policy to only take the remaining balance, I thought the whole point of a DD was that it was flexible.
With everything going on I was hoping to have a bit extra this month but with the DD going as normal it's not yet worked out that way so thought it might be worth alerting others to check if they have a very small outstanding balance with high usual DD and contact NW before to reset DD. Very surprised it's not their standard policy to only take the remaining balance, I thought the whole point of a DD was that it was flexible.
Remember the saying: if it looks too good to be true it almost certainly is.
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Comments
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Sounds irritating. Well done though on being so close to mortgage freedom.Achieve FIRE/Mortgage Neutrality in 2030
1) MFW Nov 21 £202K now £172.5K Equity 36.11%
2) £1.8K Net savings after CCs 13/9/25
3) Mortgage neutral by 06/30 (AVC £26.8K + Lump Sums DB £4.6K + (25% of SIPP 1.2K) = 32.6/£127.5K target 25.6% 13/9/25
(If took bigger lump sum = 54.5K or 42.7%)
4) FI Age 60 income target £17.1/30K 57% (if mortgage and debts repaid - need more otherwise)
(If bigger lump sum £15.8/30K 52.67%)
5) SIPP £4.8K updated 13/9/252 -
Why did you not get into conversation with nationwide a few months before zero?
Sounds like you've kept payments "keep as is" - I'm with nationwide and done the same.
When I'm nearing the end I will be phoning nationwide to "naturalise" the last payments to avoid this.
Congratulations on becoming mortgage free by the way.Became mortgage free 1st March 20232 -
When the last mortgage was paid off Nationwide took the remaining balance not the monthly payment so I wasn't aware that any conversation was needed. I've not made any recent overpayments so it should have been clear on their system that the monthly payment was more than the balance outstanding. Maybe I'm being naïve but it seems a pretty simple calculation that if the mortgage payment is more than the outstanding balance then only take the balance.Thriftmaster1973 said:Why did you not get into conversation with nationwide a few months before zero?
Sounds like you've kept payments "keep as is" - I'm with nationwide and done the same.
Not quite MF yet, but 3 out of 5 cleared!Remember the saying: if it looks too good to be true it almost certainly is.0
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