Halifax Early Repayment Charge aaaarrgg!!

wonder_boy_2

Not the usual get me out of the deal free but...

Completing on a new mortage (moving house) on the 15th Feb 2 weeks shy of the 2nd anniversary of completing on a 2 yr fixed deal on 1st March 2006 (does this make sense?). New mortgage is not with Halifax and so £2242 has been whack on as an erc.

I know, I know, I know!!! But has anyone known any goodwill gestures by the Halifax or is my intended phonecall/letter pleading with them a waste of time.

Jennifer_Jane

Can't you just change the completion date on the house - if it's only by two weeks, surely that would be OK?

Sorry, cannot answer your question. I realise this post isn't helpful, but I was just interested in why you couldn't change the completion date.

Thanks
Jen

inch_high

I work for Halifax. They wont waive £2k as a gesture of good will!You've got three options I'd say...Option 1 - Like Jennifer Jane said, delay completion by two weeks.Option 2 - Stay with Halifax and take your current rate over to new property (called porting)or OPtion 3 - Probably the better option, but I dont know your full circumstances, and I'm not an adviser. Speak to your new lender, on your mortgage offer, it will probably state that you need to settle your Halifax mortgage, find out how long you have to do that. Eg. They may say you must settle the mortgage within 1 month, in which case, for the last two weeks of Feb you'd have two mortgages running alongside each other but it wouldnt cost you £2k!Thing is with the last option though, if you are completing on the 15th Feb on the purchase of the new house, are you completing on the same day for the sale of your current mortgage? If you are then you'd have to settle your Halifax mortgage that day too...

dunstonh

delay it by two weeks makes sense or stay with Halifax as they would probably waive it if you stayed with them.

There is no incentive for them to waive it as you are taking your business away.

wonder_boy_2

Thanks for the input so far! Contracts exchanged already, completion date set, long gap between at request of top of chain, 15th suits us as its half term and I wont lose any salary for the move but it's just so close!

Dont expect £2k to be waived but a goodwill? Got 2 savings accounts with Halifax, when we arranged the mortgage/sale/purchase we expected to be moved before Christmas and were happy(?) to take the erc on the chin

inch_high

Mate, I doubt it very much that your ERC would be waived. After all, youre taking business away. What rate have you got with your new lender? Whats the product fee, how much are you borrowing and whats the purchase price?I'm not sure if your solicitor would be amused, but it may well be worth staying with Halifax.

danm

is there any reason why Halifax will not accept the new property as security against the loan?

It would probably make financial sense to apply to Halifax to port your loan to the new property and in the mean-time chnage the application with your new lender to a re-mortgage so you are ready to switch as soon as your two year Halifax deal ends on 1st/March.

only cost i see here is a valuation report

Noz

danm wrote: »

is there any reason why Halifax will not accept the new property as security against the loan?

It would probably make financial sense to apply to Halifax to port your loan to the new property and in the mean-time chnage the application with your new lender to a re-mortgage so you are ready to switch as soon as your two year Halifax deal ends on 1st/March.

only cost i see here is a valuation report

That's the only way round it that I see

wonder_boy_2

danm wrote: »

is there any reason why Halifax will not accept the new property as security against the loan?

It would probably make financial sense to apply to Halifax to port your loan to the new property and in the mean-time chnage the application with your new lender to a re-mortgage so you are ready to switch as soon as your two year Halifax deal ends on 1st/March.

only cost i see here is a valuation report

Hey thanks buddy, just put that suggestion to my solicitor...will see what she says and let you know.