Remortage frustration

ACG

https://forums.moneysavingexpert.com/discussion/comment/81908885#Comment_81908885

Where does the profit go…

Well, your not paying anything for your legals (bar £6). You presumably did not pay for the valuation.

The bank has to pay interest to people who have given them the money to pay out - I get 4-5% on my savings at the moment. The banks profit is not £13-14k, thats the interest you paid, not their profit. In addition they have to pay an underwriter, insurance, marketing, staff etc etc.

Dannydee333

https://forums.moneysavingexpert.com/discussion/comment/81909100#Comment_81909100

"The bank has to pay interest to people who have given them the money to pay out"

So the bank is lending me other people's money? Who would these "people who have given them the money to pay out" be?

I asked the bank for a loan, not a third party.

Emmia

https://forums.moneysavingexpert.com/discussion/comment/81909116#Comment_81909116

Savers, people with savings accounts are the people who are funding the lending - on a super simplistic level, you may have noticed that savings accounts pay less than those that borrow (loans, mortgages) pay, the difference is the "profit" the banks make (after paying for premises, staff, IT etc.)

The bank takes savings in, and lends them out.

Dannydee333

https://forums.moneysavingexpert.com/discussion/comment/81909171#Comment_81909171

Sharks

Emmia

https://forums.moneysavingexpert.com/discussion/comment/81909277#Comment_81909277

Why? It's business.

You want to borrow, and asked where banks get the money to lend you... Where did you think it came from? A magic money tree??

ACG

https://forums.moneysavingexpert.com/discussion/comment/81909116#Comment_81909116

The bank buys money in from other banks and financial institutions (pension funds for example). They also offer savings and bonds to people/businesses.

Once they have that money in, they then lend it out with a margin on.

This is how banks and building societies work.

You do not have money from a third party. There are 2 distinct contracts:

1. Savers and the bank.
2. Mortgage customers and the bank.

Your comments make no sense. You dont want them making profit. But then you dont want them using other peoples money.

That would mean they have none of their own money to lend out or anyone elses. You would not have a mortgage and savers would receive no interest.

Dannydee333

Since it was presented to me as an option, I downloaded and signed deeds, both me and a witness, over a week ago and sent them to the solicitor (that the bank have assigned).

Today I got a package from the solicitors with 2 copies of deeds with an apparently new layout on the witness signing page. On these new versions, they request that you have not one but TWO witnesses sign it.

What an absolute pain in the you know what. Infuriating and unnecessary nonsense.

This industry is garbage.

RelievedSheff

https://forums.moneysavingexpert.com/discussion/comment/81913565#Comment_81913565

Its As simple as if you want the mortgage get the paperwork sorted.

No amount of whinging and moaning will change that.

Dannydee333

https://forums.moneysavingexpert.com/discussion/comment/81913996#Comment_81913996

I don't get how some of these processes need to be so idiotic tho. What was the point in giving you the option to download the deed, sign it, then send it back when they were going to send physical copies anyway?

I don't think it's asking too much to expect competency from a solicitors and for them to have systems and processes in place that aren't set up in a dumb way/order.

Seems not.

The witness-signing in itself is unnecessary. It's me taking on the debt and responsibility etc. Having people say they "saw me sign it" is ridiculous. It's always gunna fall on me anyway no matter what.

poseidon1

https://forums.moneysavingexpert.com/discussion/comment/81914470#Comment_81914470

I suppose as someone who does not understand or appreciate the complexity of UK property law codified in 1925, but actually developed and constantly refined over many centuries, these formalities must indeed appear to be tiresome.

However as indicated by @RelievedSheff no point ranting about it, the system is not going to be simplified anytime soon.