Over charge mortgage assessment needed

Over charge mortgage assessment needed

8:35 AM, 15th September 2022, About 3 weeks ago 11

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Hi, I wish to have my mortgage statement audited because I think I have been overcharged.

I wonder if anyone can share their experience and company they used?

Thank you.

Nam



Comments

Ian Narbeth View Profile

11:10 AM, 15th September 2022, About 3 weeks ago

I have never had to do this but I suggest you take it up with the lender first. If they are FCA regulated they need to act properly. (That does not mean there will not be unexpected charges - did you scrutinise the small print when you took out the mortgage - but it does mean they should be able to justify any charges.)
Getting an expert in, such as an accountant, may be disproportionately expensive.

Laura Delow

11:13 AM, 15th September 2022, About 3 weeks ago

You need to be more specific about what you think is wrong with your mortgage statement. What is it that gives you this cause for concern? If you know what you think is wrong, you can take this up with their customer service dept, and if still unsatisfied, escalate it as a formal complaint & if you're still not satisfied with the outcome, you can take this further with the Financial Ombudsman Service, detail of which will be provided in their resolution summary letter. However, if you suspect the mortgage statement is wrong but you need help to understand it in order to determine if indeed something is wrong, first ask your mortgage broker if you used one to get this mortgage, or ask your lender to explain it to you (they have a simple booklet that explains each part of a mortgage statement with FAQs), or go to your local CAB office with your original mortgage offer & latest statement, or maybe ask a family member or good friend who is more savvy with financial documents, or pay a small fee to a mortgage broker to as you say; audit your mortgage but hopefully this shouldn't be necessary.

Paul Patrick

11:15 AM, 15th September 2022, About 3 weeks ago

The mortgage will state it will take 8 weeks then write to tell you they will need more time then tell you everything is ok as they have looked at it all mortgage firms are requlated by the FCA and it is not to exspensive to sort

Tim Rogers

12:12 PM, 15th September 2022, About 3 weeks ago

It's not too difficult to do the analysis yourself. However interest only is a lot easier than a repayment mortgage.
You will need a full set of mortgage statements and corresponding bank statements. Plus, the full terms and conditions. In the case of a repayment mortgage, an exact understanding of the repayment taper over time. ( what I mean is the proportion of the repayment that is allocated to interest vrs capital repayment, it is NOT a straight line.)
Start by building a spread sheet of all the payments ever made in date order. Then list alongside the corresponding mortgage statement values. Now calculate what the corresponding value should be, deduced from the documentation assembled, ( that's the nasty bit and requires understanding the process). Ideally all three figures should be the same.
Highlight any differences and any additional payments made/taken.
Start by asking the company to help because your confused and need their guidance as to where you might have made a mistake in your understanding etc........
Give them enough rope they will hang themselves, once they do either start a small claims procedure or refer it all to the appropriate ombudsman or the FCA. If you choose to refer it, make certain you have all the paperwork, numbered and indexed, then write an idiots guide. These folks really don't have the time to put it all together so you need to make it easy and lead them by the hand.

Tim Rogers

12:20 PM, 15th September 2022, About 3 weeks ago

Reply to the comment left by Tim Rogers at 15/09/2022 - 12:12
One other thing, do check that they have the correct value for the loan size. I know it sounds daft, but it happens. If it has, then there's the potential for a whole load of tax issues, depending on if its a BTL or home mortgage and when it was originally started.

Mervin SX View Profile

13:24 PM, 18th September 2022, About 3 weeks ago

Hi Nam,

I will be happy to look into this for you without a charge. Please email me at property.management@xavi.co.uk

Nam

13:28 PM, 26th September 2022, About 2 weeks ago

Hi

For example when interest was announced say example in September the interest was applied in the same month not in lieu unlike my other mortgage which was a month after, and the interest applied was 1% over the base and interest rate for example base rate is 1.20% increase is 1.75% which is 2.95 however total change is 3.95 there is no additional tracker that I aware of.
Looking at my statement Start of my mortgage I had two months payment of mortages for the first 4 months.

When they sent a letter of base rate change they do not include the base rate just the pervious rate and what its been changed to.

Exchange and move move in months where within the same month .

The mortgage is interest only

Nam

14:02 PM, 26th September 2022, About A week ago

Reply to the comment left by Ian Narbeth at 15/09/2022 - 11:10
Thank you for your reply with overcharging which seems to be quite common, individuals with would need a mortgage audit before you go to the FSA, however I've only seen foreign countries that offer this service, it's good to get a personal audit of your mortgage overcharge before you go to the FSA or( court)because iyou would need evidence to prove you're in you're correct in your actions, and the mortgage lenders would need to rewrite your whole mortgage and correct your credit file and pay compensation However if you decide to court without going to the FSA you still need evidence of your complaint as the FSA do no audit and you would need to rely on the lender audit to be honest, the FSA will not check if the lender evidence is true refer to their website

I can't seem to find an account that would look at my statement however if certain criteria are not met eg incorrect interest rate charge, interest rate change not paid in lieu general check you can do yourself and your found to correct of irregularities them getting a professional audit seem to be a good idea, some free ( low cost) initial assessment to detect if your correct

Paul Patrick

14:39 PM, 26th September 2022, About A week ago

Hi our firm has done loads of this type of work in the last few years its a total minefeild if you do not know what your doing and the mortgage companies always tell you their not wrong

Nam

18:02 PM, 3rd October 2022, About 3 days ago

Reply to the comment left by Laura Delow at 15/09/2022 - 11:13
Thank you for your reply

I notice on tracker based mortgage when the interest rate change was announced it wasn't implemented in lieu for example October's interest announcement will be in implemented in November, but in this case it was implemented in October mortgage date 28 of October. I also noticed that the rate was a standard variable rate rather then standard based tracker rate. After the fixed term tracker had ended I also notice two month mortgage in one month for 2 months in the early part of the mortgage started on 16 August when solicitor received the money and exchange and completion was 26 August

This is the reason I believe their been an over charge

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