Can I claim back mortgage charges?

[kalujo123]

Many thanks for your help in advance

 

I have recently closed my mortgage account with rooftop mortgages . However on my redemption statement it shows that they have charged me just over £10,000 in fees for missed/late payments etc since I started the account in 2006.

 

I am wondering if I am able to try and claim some of these fees back as I remember at one point they were charging me £75 for late payment and £50 for non direct debit payment/arrears letter per month and I did not even receive letters from them informing me.

 

How would I go about this if it is possible.

 

many thanks

[filrobbo]

Yes you can claim them back

[Ell-enn]

Do you have a detailed statement showing each charge and the date is was applied to your account ?

[kalujo123]

I really only have the redemption statement showing £10,000+ fees, I did have a statement recently showing I think the last years transactions but nothing before that.

[Ell-enn]

OK, you need to write to them asking for a full statement for the whole length of the mortgage so you can put each charge into our spreadsheet which will calculate the amount to be claimed back plus interest (send the letter by recorded delivery so they can't say they didn't get it).

[kalujo123]

Thanks, will they charge me for the statement. How do I find the spreadsheet, many thanks

[Ell-enn]

They might want to charge you, depending on how much it might be easier to send them Subject Access Request which will cost £10 and should get you every bit of information they have on your account including a full statememt. The SAR is in our library here http://www.consumeractiongroup.co.uk/forum/showthread.php?390026-Mortgages-Reclaiming-Charges

 

Send the £10 by postal order - write your name and address on the back of the PO together with your mortgage account number. Send the letter by recorded delivery, keep a copy of the letter and check on the royal mail website a few days after posting to print off the signature receipt.

 

Once you get all the info back we can move to the spreadsheet.

[filrobbo]

If they sent you debt adviser to your home , you can claim that too.

[kalujo123]

Thank you all. I have managed to get a detailed statement sent which I now have which shows all details of charges. How do I know calculate them all up with the interest and is there a specific letter I should send along with the charge list, thank you so much

[kalujo123]

Bump

[kalujo123]

Hello everyone

 

I have now received a statement of all charges and am trying to find out what the next step is when asking for them back. Is there a particular letter format that I should use

 

Many thanks

[dx100uk]

two threads merged

 

please keep to one thread

 

pop the charges into this spread

using THEIR int rate in cell d15

 

input every charge individually

 

This second spreadsheet is a compound interest calculator and can be used both for PPI claims and Charges Reclaims on Revolving Credit Accounts such as credit cards. Compound interest is not an award that fos will give in respect of PPI claims but it can be used in PPI cases that are pursued through the courts. It is the standard sheet that is also used for charges reclaims both on credit cards and loan accounts where interest in restitution is claimed.

 

CISheet v101.xls

 

 

http://www.consumeractiongroup.co.uk/forum/showthread.php?296108-Hot-news-for-anyone-who-has-suffered-mortgage-arrears-charges-irresponsible-lending-or-other-unfair-lender-conduct

[kalujo123]

Next step?

 

Hello all I have had a reply from rooftop after requesting repayment of all charges plus interest and they have now sent a response saying no.

 

This is their reply with 1 point

 

" you have stated that you believe charges relating to arrears have been unfairly applied to your account and have requested a refund of these charges with 8% statutory interest. You have also requested a breakdown of how these fees have been calculated.

 

To be clear, no 'penalty charges' or 'penalty fees' have been applied where a breach of contract has occurred. We only apply a fee to cover additional administrative costs incurred to us where business as usual costs are exceeded.

 

The fees charged are to reflect the additional administrative costs incurred in managing an account during periods of arrears.

 

 

For example where a customer requests is to undertake a task which requires additional administrative work to be undertaken, a fee is payable.

The fees detailed in our tariff cannot be considered penalty charges for a breach of contract because this is not the manner in which they were applied.

 

The fees charged are a fair representation of the total costs we incur and our tariff is reviewed regularly.

I am unable to provide any further information on the way in which these have been calculated.

 

 

Rooftop is regulated by the financial conduct authority.

Therefore I can confirm that these fees meet the criteria set out in the mortgage conduct of business sourcebook.

Under these regulations we are not obliged to provide this information because the data is commercially sensitive.

If you are in satisfied with our response you can contact the financial ombudsman service"

 

Does anyone know what the best next steps are,

 

 

I would like to continue with action against them but a bit wary of using the fos as they may take some time, I would prefer the court route.

 

Any help would be greatly appreciated

[Ell-enn]

Standard response I'm afraid. However, just because they think the charges and fees are fair doesn't mean they actually are fair.

[kalujo123]

I thought so. Would it be best to use fos or try the court route, I had a look and apparently for what I am asking for to be refunded the court fee would be £410?

[dx100uk]

what letter did you send?

 

 

ANY PENALTY fee under the now FCA are unlawful and reclaimable and they know this

 

 

that just a std response.

 

 

plus I see you are using 8%?

should be the mortgage rate they charged

 

 

dx

[kalujo123]

I just copied and pasted some of the details from a template letter and amended to my own circumstances. I placed it at 8% throughout the whole claim as sometimes my rate was lower than that so thought I could do the statutory rate?

 

Rooftop are just saying that they were not penalty charges but there actual cost but they could not disclose how they decide to charge me £75 and £50 fees each time.

 

 

Should I attempt to go through the court route as I have looked online and discovered if I make claim through the post I can claim a fee remission

[dx100uk]

if you were not 'in arrears' you would not have suffered the charges

 

 

...so, they ARE A PENALTY for being 'in arrears.

 

 

and as the FCA say 'they are unlawful' at whatever level.

 

 

http://www.consumeractiongroup.co.uk/forum/showthread.php?244476-Reclaim-unfair-mortgage-arrears-fees-FSA-says

 

 

http://www.consumeractiongroup.co.uk/forum/showthread.php?296108-Hot-news-for-anyone-who-has-suffered-mortgage-arrears-charges-irresponsible-lending-or-other-unfair-lender-conduct

 

 

 

 

http://www.ftadviser.com/2011/10/29/mortgages/rooftop-mortgages-to-close-Kaz5ZygUQrKJMM11p62r0O/article.html

[kalujo123]

Thanks for your reply and information.

 

So do you think I should start court claim, also would I have to send them a letter before any action

 

Many thanks

[dx100uk]

yes you must send a letter before action given 14 days

 

 

however, I'd be replying to the letter if that is the first fob off.

 

 

they as with any company, send you a fob off letter first

to see if you are serious about the reclaim.

 

 

you need ro take the reply apart bit by bit and reply

 

 

it would be useful to see your letter

 

 

as it appears to me, it might not have been tight enough

and quoted things it p'haps should not have

 

 

dx

[theoldrouge]

Yes as dx says the letter would be useful FCA-http://fshandbook.info/FS/html/FCA/MCOB/12/5

[kalujo123]

Hi Dx,

yes you are probably right about the letter. I did just copy and paste one I saw on here, this is what I sent

 

I am writing to ask you to refund the charges which you have charged to my account in respect of latepayment fees

and arrears charges to the sum of £5310 along with £2200.57in interest at the statutory rate of Eight percent totalling £7510.57.

 

 

I nowunderstand that such fees are unlawful at Common Law, Statute and recentconsumer Regulations.

 

In addition your charges appearto represent an unfair term of contract

which is contrary to the UnfairTerms in Consumer Contracts Regulations 1999 (SI. 1999/2083).

 

 

My accountfalls within the ambit of Regulation 5 of the Unfair Terms in ConsumerContracts Regulations 1999 as I am a consumer.

 

 

Your charges constitute anunfair penalty under Schedule 2 of the said Regulations,

which provide anindicative and non-exhaustive list of terms which may be regarded as unfair.

 

 

Under paragraph 1(e) of schedule 2 this specifically includes terms which havethe object of requiring

any consumer who fails his obligation to pay adisproportionately high sum in compensation. I

 

 

would vigorously contend thatthis is the position regarding the fees which you deemed fit to apply to my account.

 

I would like to bring yourattention to the following statement by The Office of Fair Trading:

 

"A term in a mortgage agreement which requires the borrower to pay more for breachingthe contract terms

than actual costs and losses caused to the lender by thebreach

(or a genuine pre-estimate of that) is likely to be regarded as anunfair penalty

and to be unenforceable both at common law and (in a consumermortgage) under the Unfair Terms in Consumer Contracts Regulations.

 

I believe that the charges youhave levied of £5310.00far exceed any true cost to yourself

as a result of the breachesand any genuine pre-estimate you could conceivably reach.

 

 

If you disagree, thenwill you please demonstrate this by letting me have a full breakdown of thecosts

to which you have been put to as a result, in order to reassure methat your charges really do reflect your costs.

 

 

I have enclosed acopy of all the charges that you have applied to my account for your use.

 

Thus I amasking that you refund the charges and other fees plus interest totalling £7510.57 which have been levied on myaccount.

If you do not respond, or you do not respond positively, within thetime limits set out in your official complaints procedure

I will proceed withlegal action. I believe that these targets are more than sufficient for a largecompany such as yours with dedicated staff and departments.

 

I hope thatyou will enter into a sincere dialogue with me about this matter and I amwriting this letter to you on the assumption that you will prefer to do thisthan merely respond with standard letters and leaflets.

 

Then I just received their reply with the one main point that I posted earlier.

So prob best to write back to them with a 14 day letter before action

 

thank you for your help

[theoldrouge]

could you also please post up their reply in full

[kalujo123]

The oldrouge

 

I posted on the earlier post what they responded with

[theoldrouge]

ok, so they are saying that their charges comply with FCA MCOBS

FCA / MCOB / 12 / 5

MCOB 12.5 Excessive charges: regulated mortgage contracts, home reversion plans and regulated sale and rent back agreements1

 

MCOB 12.5.1

01/04/2013

FCA

 

A firm must ensure that any regulated mortgage contract1,1 home reversion plan2 or regulated sale and rent back agreement1 that it enters into does not impose, and cannot be used to impose, excessive charges upon a customer.

 

MCOB 12.5.2

01/04/2013

FCA

 

2A firm must ensure that its charges to a customer in connection with the firm entering into, making a further advance or further release on, administering, arranging or advising on a regulated mortgage contract1,1 home reversion plan or regulated sale and rent back agreement1, or arranging or advising on a variation to the terms of a regulated mortgage contract1,1 home reversion plan or regulated sale and rent back agreement 1are not excessive.2

 

MCOB 12.5.3

01/04/2013

FCA

 

When determining whether a charge is excessive, a firm should consider: (1) the amount of its charges for the services or products in question compared with charges for similar products or services on the market;

(2) the degree to which the charges are an abuse of the trust that the customer has placed in the firm; and

(3) the nature and extent of the disclosure of the charges to the customer.

 

 

MCOB 12.5.4

01/04/2013

FCA

 

2Mortgage lenders 2are also subject to requirements relating to responsible lending (see MCOB 11).

 

so what does your Mortgage T&Cs have to say about charges?