Urgent help re redemption charges for remortgage

purpleparrotuk

I have had a remortgage offer from Nationwide which I’ve accepted. My current lender Halifax have said that because my fixed rate deal ends 31st December I can move across to another lender after October 1st. So I have set this as the completion date on my remortgage with the conveyancers and signed all the deed etc. 

I have now been advised by a broker on this forum that they don’t think I can move across without charges before the end of December. I am now worried sick and Halifax aren’t open for me to check again.  

ACG

I would probably agree with the broker. 
ERCs are tied in until the end of the deal. They sometimes waive the ERCs if you switch products and stay with them but not if you leave. 

Cant you just change the completion date to 1st Jan? 

purpleparrotuk

ACG said:

I would probably agree with the broker. 
ERCs are tied in until the end of the deal. They sometimes waive the ERCs if you switch products and stay with them but not if you leave. 

Cant you just change the completion date to 1st Jan? 

No, it is New Year’s Day and the offer ends on 2nd January so no time to get this sorted. Why have Halifax told me something completely wrong then and I have now agreed all my new mortgage and signed deeds because of this?

ACG

Im not sure, mistakes happen. 
Speak to Halifax, see what they say in waiting the ERCs if you pay them off on the 30th (or whatever the last day of the year is). Goodwill gesture and all that. 

Failing that, see if the new lender will offer an extension for a week. 

purpleparrotuk

ACG said:

Im not sure, mistakes happen. 
Speak to Halifax, see what they say in waiting the ERCs if you pay them off on the 30th (or whatever the last day of the year is). Goodwill gesture and all that. 

Failing that, see if the new lender will offer an extension for a week. 

Thanks for the reply. I will see what Halifax say in the morning. Hopefully they record all their calls and can listen back to it.

K_S

purpleparrotuk said:

I have had a remortgage offer from Nationwide which I’ve accepted. My current lender Halifax have said that because my fixed rate deal ends 31st December I can move across to another lender after October 1st. So I have set this as the completion date on my remortgage with the conveyancers and signed all the deed etc. 

I have now been advised by a broker on this forum that they don’t think I can move across without charges before the end of December. I am now worried sick and Halifax aren’t open for me to check again.  

@purpleparrotuk I would concur with that opinion. 

I vaguely recall a similar question from a few years ago where the Halifax wording on their intermediary website/literature was quite confusing and wrongly suggested that ERCs would be waived in the last 3 months of the fix. It turned out that that was only applicable if porting to a new Halifax mortgage and for product-transfers.

simon_or

OP, I think your broker has messed on the Nationwide remortgage, surely he/she should have made sure that the validity of the offer was comfortably sufficient for you to complete on the remortgage withiut paying ERCs?

Doesn't make any sense to get an offer ending 2nd Jan when your fix ends on 31 December.

Hopefully Nationwide will allow your solicitor to draw down the mortgage before expiry and then pay off Halifax on 3rd Jan.

Speak to your broker also and see if they can get an extension.

purpleparrotuk

simon_or said:

OP, I think your broker has messed on the Nationwide remortgage, surely he/she should have made sure that the validity of the offer was comfortably sufficient for you to complete on the remortgage withiut paying ERCs?

Doesn't make any sense to get an offer ending 2nd Jan when your fix ends on 31 December.

Hopefully Nationwide will allow your solicitor to draw down the mortgage before expiry and then pay off Halifax on 3rd Jan.

Speak to your broker also and see if they can get an extension.

Thanks for the reply. Unfortunately I didn’t use a broker. I went direct. I am just going to find out if the conveyancer can apply for an extension. 

kingstreet

Here is the wording from the Halifax product transfer portal when you make a Mortgage Enquiry of existing account;-

If a Product Transfer application is made within the last 3 months of the existing product term, the ERCs will be waived. If the loan is re-mortgaged to another lender, the ERCs will be applicable up until the existing product end date.

purpleparrotuk

kingstreet said:

Here is the wording from the Halifax product transfer portal when you make a Mortgage Enquiry of existing account;-

If a Product Transfer application is made within the last 3 months of the existing product term, the ERCs will be waived. If the loan is re-mortgaged to another lender, the ERCs will be applicable up until the existing product end date.

Thanks for letting me know about this. Don’t know how they can be telling people on the phone a completely different thing. I even reiterated at the end of then call what we had discussed.