UBS Increased My Mortgage- On A Fixed Rate

dexters_mum_2

Morning everyone,

Sorry for the early post but I am trying to get my plan of action together for 9am!

I have a £85k, 3 year fixed rate mortgage with UBS, I am a year into the deal this month, so I have a further two years on a fixed deal.

When I took out my mortgage, I was told for 36 months my payment would be £506.12 (Repayment) which is quite happily been the case, but on my online bank account this morning it shows that UBS has taken £507.99.

I realise this is not a huge amount but I am on a fixed deal so I don't know why they have increased the payments, I've had no letter from them either.

Obviously, I am going to call them today but does anyone know why they might have to increase the payments on a fixed rate mortgage?

Should point out that I have no arrears on my mortgage and it is always paid on time by Direct Debit.

I don't want to get too high and mighty about it because I want to extend my mortgage later this year for home improvements and I'm scared they'll blacklist me if I rock the boat too much!

Any ideas would be appreciated as well as any ways of dealing with UBS on the phone.

Cheers,
DM

TonyMMM

Leap year ....1 extra days interest ?

dexters_mum_2

Possibly but would that still happen on a fixed rate mortgage deal, surely they should have factored that into the 36 months worth of payments? There was no mention in any of their T&C's that in a leap year the payments would increase?

kingkano

Did you add any fees to the mortgage? These might not have been calculated. Did you make any payments late at all, even a day? Or underpay in any way? The fact its changed after a year does seem to point to the yearly recalculation that traditionally happened with mortgages.

Fixed refers to your interest rate rather than your repayments btw. They will fix the interest rate applied to your account for the period promised. They repayments might change for any of the above reasons.

Only UBS can tell you for sure exactly why they changed it. Phone them and ask (curteously lol) and I'm sure it'll be explained easily

Amarillo

Our fixed rate mortgage went up by a pound or two so I phoned them ready to go in all guns blazing. They had a recorded message on the phone system bit where you made your selection saying that if your fixed rate mortgage had gone up then it was due to the fact it was a leap year and they have spread the extra day's interest over the rest of the year.

dexters_mum_2

They say it's not due to a leap yer, it's not due to fees.

They have no idea and they have refunded the monies but they'll call me again if the amount has to be adjusted for any reason again.

So, a mystery by the looks of it!

beecher

Mine's the same as normal with LloydsTsb - must vary from bank to bank.