Failed Exchange

Maka344

Hi all,

I’m hoping someone can offer advice or share experiences with a mortgage funds issue we’re dealing with.

Despite the cancellation request by our solicitor, the funds were still released by the lender but returned by the solicitor within an hour. The problem is that our mortgage offer states:

“Once you accept this Offer, you will not be able to withdraw from the contract after the funds are released. However, you can repay the mortgage in full subject to any fees shown in the interest rate and other costs section and any early repayment charges in the early repayment section.”

Now, the whole chain may collapse because our buyer is having issues with their FTB, and we haven’t exchanged yet. Our solicitor has reassured us that, as the funds were returned within 24 hours, no fees or early repayment charges (ERC) will apply as per the handbook but the offer is now only valid for 28 days since the funds have been returned and the funds went back to the Delayed Completion Team.

Has anyone been in a similar situation before? Can anyone confirm if returning the funds within 24 hours does indeed avoid these fees?

Thanks so much in advance!

ACG

Dont hold me to anything, but you wont be liable for the ERC. That is only appliable if you actually complete. Dont worry, trust your solicitor. 

Maka344

ACG said:

Dont hold me to anything, but you wont be liable for the ERC. That is only appliable if you actually complete. Dont worry, trust your solicitor. 

Thank you. That’s reassuring. He’s seeking confirmation in writing from the lender. He did put the request in before the funds were released, Barclays failed to act on the request and released the funds. 

ACG

Maka344 said:

ACG said:

Dont hold me to anything, but you wont be liable for the ERC. That is only appliable if you actually complete. Dont worry, trust your solicitor. 

Thank you. That’s reassuring. He’s seeking confirmation in writing from the lender. He did put the request in before the funds were released, Barclays failed to act on the request and released the funds. 

It doesnt surprise me. We took Barclays off our panel.
All I can say is our standards are far higher than theirs. 

Ksw3

We had to send our funds back with Barclays, we managed to complete a week later with no problem but we did have to start paying interest from the first date that they sent the funds.