Abbey mortage exit fees £225

Fairyfeet_4

Hi, I've read Martin's remortgage guide and have taken the first step of contacting my current mortgage provider, Abbey, to see what fees they'll charge if I leave them. They said £225. When I asked what this was for they said admin fees for the time I've been with them (2 years) and for all of the letters they've sent me (two annual mortgage statements and a load of junk asking if I want a further loan)! Should I refuse to pay this straight away rather than paying it now and trying to reclaim afterwards. I've read on the forum that other users (mariner and sillygoose) have asked this same question, but couldn't see any responses. Any help would be greatly appreciated.

Thank you to all who took the time to reply to my question. I've taken the advice, some put more tactfully and kindly than others (you know who you are ) and had a look at my T&Cs and alas, it does say £225.

dunstonh

Should I refuse to pay this straight away rather than paying it now and trying to reclaim afterwards.

Why do you think you should refuse to pay and what grounds do you think you should not have to pay it? Nothing in Martins guide says you are able to reclaim valid charges.

The fee was £225 when you took it out and they are asking you to pay £225 now. Nothing wrong with that at all.

InMyDreams

Hi Fairyfeet and welcome to MSE

Whether the charge is fair or not depends on what you agreed to when you signed up for the mortgage. If they are trying to charge you something different to what's in your contract, that's what's not fair. It's nothing to do with whether you think it's good value now or not.

What do your terms and conditions say? I am leaving the Abbey (hopefully tomorrow) and they are only charging me the £95 exit fee that is stated in my t&c that I signed up to. £225 is what is stated in the t&c for new borrowers. I was initially quoted the £225 figure, but when I pointed out that my t&c quoted £95, the lady on the phone did a u-turn. I suspect she just didn't know what she was talking about.

Hope that clarifies things.

Edit: Aww big D got there first ;-)

KiKi

Hi there, and welcome to MSE.

As others have said: you can claim the *difference* between what you were quoted, and what you will have to pay. If you signed up to £225, which you would have if you only obtained your mortgage 2.5 years ago, then you have no recourse for claiming anything back, I'm afraid.


KiKi

dunstonh

Edit: Aww big D got there first ;-)

As usual However, you said it nicer... as usual

chappers

This is a fee for administering your mortgage. you had the choice to pay it at the start in cash ,to add it on to your mortgage(abbey don't do this as default as it incurs interest) or to pay it at the end of your mortgage/deal interest free.
you obviously chose to pay it at the end.....So there it is.