Threaders

m.colak

I'm really hacked off now. The conveyancer has just come back after arranging the mortgage between Birmingham Midshires and West Bromwich and told us there is a shortfall of £800 between the new Mortgage amount and the settlement figure given by BM. When i phoned BM up i made sure that there was a least £500 difference on the new mortgage figure and the settlement figure and funny enough suddenly theres an extra £1300 been added on. Think i'm going to kick someone's !!!! over this as it stinks of a redemption fee although we are 2 months past the end of the product.

homer_j_3

So, you have paid the mortgage off and they have come back to say you still owe more.

This used to be something very frequent I experienced because either solicitors used out of date statements or payments didn't pay on as anticipated in the figure. The other issue would be that there were admin errors on the lenders part.

I really think you need to speak to the solicitor and ask for copies of the statements they had and then take this up with the lender. If you can spot anything out of sync with the red statement then you should easily be able to find where this has all gone wrong.

The issue may not disappear and the old lender may not remove their charge until its paid. You need to take action and if you cannot afford the shortfall, make offer to repay in smaller amounts rather than getting into debt for it.

There are a lot of variables here and knowing your methodical approach, I am sure you will quickly get to the bottom of it.

luckyfool

Check whether your old mortgage took your monthly payments of interest in advance or in arrears. If it was in arrears then that could explain some of the shortfall.

m.colak

homer_j wrote: »

So, you have paid the mortgage off and they have come back to say you still owe more.

This used to be something very frequent I experienced because either solicitors used out of date statements or payments didn't pay on as anticipated in the figure. The other issue would be that there were admin errors on the lenders part.

I really think you need to speak to the solicitor and ask for copies of the statements they had and then take this up with the lender. If you can spot anything out of sync with the red statement then you should easily be able to find where this has all gone wrong.

The issue may not disappear and the old lender may not remove their charge until its paid. You need to take action and if you cannot afford the shortfall, make offer to repay in smaller amounts rather than getting into debt for it.

There are a lot of variables here and knowing your methodical approach, I am sure you will quickly get to the bottom of it.

No were about to remortgage have to pay the shortfall to complete the deal. Have the money just miffed that a company will still try and use these tactics. The worse thing is am away at work and the information has arrived at home so can't look at it until my wife emails it to me so i can look at it properly. Currently its going to cost me an extra £20 each day over the redemption date which i don't know cause i can't see the !!!!!!!g forms.

The conveyancers are the one recommended by West Bromwich whom they pay upto £300 of the costs. Will have to look at the interest as don't know yet if it is arrears or advance. The worst thing is I ask for a settlement figure last month and it was this figure I was going off. Worse comes to the worse will pay and then reclaim.

payless

possible sold figures based on £x owing on date + £y per day.. where in fact you have made a payment to old lender in between , so a new redemption statement will solve it ( or pay sols and get funds back from BM afterwards )

m.colak

payless wrote: »

possible sold figures based on £x owing on date + £y per day.. where in fact you have made a payment to old lender in between , so a new redemption statement will solve it ( or pay sols and get funds back from BM afterwards )

The funny thing is have just paid this month mortgage payment to the BM and that was £750. The statement must of been made before the last payment.

payless

I send an email to all my clients sometime before completion explaining this possibility / what to do.

( also not BM would have added and exit charge)

m.colak

Panic over i managed to get my wife to read the payments out over the phone and yes the last payment is missing from the statement.

m.colak

Last question if i know there is a payment missing do i tell the conveyancers to get a new statement (possibly incurring more costs) or do I pay the outstanding amount and await the rebate?

payless

depends if you have the funds / how much extra the rate with BM is / time left on offer / if sols will charge more

m.colak

payless wrote: »

depends if you have the funds / how much extra the rate with BM is / time left on offer / if sols will charge more

Yes / £20 per day / about 25 days / don't think so.