New mortgage rate not yet live

ElPolioLoco

During the Lizz Truss clusterf$$$$ i decided to engage with my mortgage provider to secure a new fixed rate deal as my existing fixed deal ended in Jun 23. i went through the process of completing the application and more importantly digitally signed the document and returned. i received an email confirmation that i had completed the application and there was no further action from me. 

The agreed first payment for the new deal was from December 2022 on wards. i noticed that the lender was still taking the old amount. i noticed again this month that the old amount is still effective. 

the fixed rate deals are better today, i was after advice on my negotiation position given i have signed a deal. could i point to the fact the lender hasn't been applied on time as a reason to cancel? i also have not received any further email or postal communication to confirm its active.

any advice is appreciated.

thanks in advance.

dimbo61

You can talk to your lender and ask what's going on 

ACG

Why did you not go and switch to a new product a fortnight ago before the new product kicked in? 

Without knowing the details its difficult to say, but no ultimately all they have to do is put you in the position you would have been had the mistake (assuming it is a mistake) not been made. Which means taking the correct amount and charging the correct rate. 

ElPolioLoco

ACG said:

Why did you not go and switch to a new product a fortnight ago before the new product kicked in? 

Without knowing the details its difficult to say, but no ultimately all they have to do is put you in the position you would have been had the mistake (assuming it is a mistake) not been made. Which means taking the correct amount and charging the correct rate. 

the new product was due to commence 1st December, not a fortnight ago. 

ElPolioLoco

dimbo61 said:

You can talk to your lender and ask what's going on 

i would but trying to see how best to play this so if possible i can get a better rate. its unlikely but worth working out first

ElPolioLoco

Hello, should i stay quiet,wait till june and then shop elsewhere on the basis that that the agreement hasnt been implemented? or raise the fact its not been implemented and try and get the current (better) rate?

penners324

Have you paid the Early Repayment Charge?

JMA74

which lender is this? and were you going to be paying an ERC for exiting the deal early or was it within the window where they allowed the changes to be done in advance penalty free? 

ElPolioLoco

Coventry. i would be ERC free in June. if the product was applied correctly, the ERC would have been added to the monthly payment amount.

ACG

With it being a smaller building society, there is no harm asking and pleading for their better nature. But I think they only have to honour the agreement made. 

Imagine rates had increased, you would be wanting them to honour it. 

I do not use Coventry a lot but they are generally a decent lender. 

JMA74

Are you sure the ERC was going to be added to the loan?  Thats a fairly unique way of doing it if so.  I dont use Coventry much either so i dont know the answer.    Maybe it was supposed to be paid separately and since it wasnt then the transfer was cancelled. 

You are going to have to call them and ask