Early repayment charge

goldfinches

I'd be tempted to play them at their own game and pay off the whole amount apart from £1 and then leave that outstanding until the end of the mortgage term but then I do admire malicious compliance when it's done well.

Combenew

kingstreet said:

Combenew said:

kingstreet said:

I'd expect percentage of loan amount redeemed unless it's something unusual. Is is a standard first charge mortgage with a high street-type lender?

Yes high street lender, first charge

Could you kindly set out or C&P the ERC para from your illustration or mortgage offer, please.

There you go

DE_612183

goldfinches said:

I'd be tempted to play them at their own game and pay off the whole amount apart from £1 and then leave that outstanding until the end of the mortgage term but then I do admire malicious compliance when it's done well.

I think you'll find that ERC is liable not just on the whole amount but also any large payments - in my case you can make a 10% payment without penalty - anything above will incur the relevant change - the % applied to the payment made.

So for example if you have 200k o/s you can pay 20k off with out penalty - if you pay 30k the penalty is 5% ( or whichever year your in ) of the additional £10k you've paid - so £500