Mortgage Fix charge- legal?

[robert_harper_2000]

All this talk is about bank charges being unfair well how about £400 for fixing your mortgage at a low rate? Surely is this as unfair as being charged for going your overdraft. It doesn't cost the banks £400 for fixing it so why should it be charged to us the consumers.

 

Whats the legal side of this? I imagine you guys would have looked into this already. If not check the papers - there's a lot of talk about exit fees being refunded due to being unfair and so not legal.

[alanfromderby]

I may be wrong, but I would have thought that classes as a payment for a service. In which case it would not be reclaimable.

[robert_harper_2000]

Hmm... they really do rip people off. Just charges all under different names! lol I bet if you took them to the FO they would fall.

 

Does it cost anything to go further? or court maybe, would they risk it for £400 I wonder

[BankFodder]

Alan is correct.

[Bookworm]

To expand: They provide a service, you accept that service. Unlike the bank charges, where you can't really go anywhere else, since they all charge +/- the same, if you're not happy with the mortgage fixing charges, you don't have to go with them.

[bwfcboy]

just juming on this!

 

what about the mortgage exit fees that there seems to be a stink about at the moment.

 

this is a fee for transferring information to a new lender that is now largely electronic and the charge has gone up from typically £50 to as much as £400 in recent years

 

this is obviously a penalty for leaving your mortgage provider.

my logic tells me it is the same as account bank charges?

[robert_harper_2000]

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