Debbie v GE money and London Mort Co.

[fireflyer]

Hi,

i recently sold my property after a period of financial difficulities.

The London Mortgage company had a second charge and took 4k in ERC charges. Apparently they have a 9 year ERC period and i was almost into the 6th year. Having read many threads on here, i gather that i wont be able to recover the early redemption fee back?

However, both lenders - GE Money (1st charge) and The London Mortgage Company have levied many fees on to the original mortgage loans. Fees for letters, legal letters etc - we got into arrears on both loans and were making additional payments but the fees and costs levied means we had not paid anything off either loans and paid back more on both than we had originally borrowed!

So, i would like to claim back any unfair or illegal charges....and i don't know where to start. I am prepared to take it all the way - not just for me but for all others in the same boat. Surely we have to stop this? I accept my financial difficulties were my responsibility but that was made so much worse by these massive charges. To the point that the only way out was to sell up and get away from both lenders.

Thank you - any help/advice will be gratefully received.

Debbie

[zootscoot]

Hi Debbie,

 

First thing you need to do is to send a SAR see the templates in the bank templates library but adapt the wording to apply to a mortgage rather than a bank account.

 

9 years seems a long time for an ERC to be applied. Could you give a little more details on this second charge. Was it over 25K? How was the ERC calculated. Was it on a discount, fixed rate or variable deal?

 

All the best

 

Zoot

[fireflyer]

Hi

thanks for your reply.

I have sent the SAR letter off by fax and post to both GE Money and The London Mortgage Company.

I have requested that they also send me a copy of the original mortgage contract signed by me etc.

I will be back in touch as soon as i hear back from them.

thanks again for your help and advice.

Debbie

[fireflyer]

Hi

I have received a massive pile of paper work from GE Money. It is the history of our mortgage account with them. It seems everything is there barring our original contract that we signed (i did request this).

I don't honestly know where to begin to unravel all the charges. All i can say is that it appears we paid some 60k over 5/6 years but the amount that was paid upon redemption was only about 3k less than the original loan! There are fees, fees, fees, added and added.

Is there anyone who acts as a consultant available? That i could engage to wade through this paper work with/for me? I just cannot see that i will be able to understand what exactly i am looking at, what i am entitled to claim back (if anything).

Help please!

Thanks

Debbie

[mrsfoot]

hi Debbie

 

We dont recommend using a consultant or company as this can prove costly, up to 75% of the money you claim back!!

 

It is a really easy process, so please dont worry, we are here to help and support you.

 

First of all use this rule of thumb to decide which charge can be reclaimed:

 

"if it has been added to your account because you have breached a term in your contract, e.g missed a payment, then it can be reclaimed"

 

Ok so now the next steps:

1. Buy a nice bottle wine

2. Clear the dining table and your evening duties

3. Open the wine and have a glass.

4. Put your transaction history (what shows payments / charges etc) into date order.

5. Use a hilighter (pink works for me!) and hilight each charge using the rule of thumb above.

6. Place all hilighted pages to your left, non hilighted to your right and raise your glass you mouth for a slug!

7. Using the hilighted pages enter the information into a spreadsheet. Find the spreadsheet using this link. Add the date, what they have called the charge and the amount in the relevent columns.

http://www.consumeractiongroup.co.uk/forum/welcome-our-forum/69359-cant-find-what-youre.html

8. Have a well deserved glass of wine and print out the spreadsheet. Make sure you save it to your pc too!!

9. Write your prelim letter (see link above for the template) and send this with your spreadhseet via recorded delivery to GE Money

10. Finish the bottle and sleep!

 

Hope this helps, ill monitor this thread and try to answer any other queries you have.

Oh and write to GE and tell them they have missed out the copy of the contract...tell them how many days they have left of the original 40 alowed by DPA SAR and you will enforce legal action if this is not sent to you before the end date.

 

Mrsfoot

[fireflyer]

Hi

thank you so much for your advice and help. I have written the letter to GE Money requesting a copy of our original contract etc. Tomorrow, i have more time and will crack open the wine!!!.... and sort out the charges etc.

Which letter in particular do i use to request payment from G E Money?

thank you again, Debbie

[mrsfoot]

Hi Debbie

 

You send the prelim letter first. This can be found folowing the link i gave you on my first post.

This will ask nicely for the charges back and state what reasons you are suing to reclaim them. Make sure after you have completed the spreadsheet that you read all you can on the unfair terms in consumer contract regs and understand wht it applies to your case. Also read the OFT report, also found in the link and see how that applies to. It is really important that you understand why you are doing this.

Good luck with the wine lol