Mortgage Penalty Fee's

[baconbuttyman]

If i paid my mortgage off, my mortgage company says there will be a penalty charge for this and that will be around £10.000 for paying it up early, is it unlawful just like the bank penalty charges, i am looking at a view to paying it off without paying the penalty fee, or paying the fee and then reclaiming it back. is this correct

[robert_harper_2000]

Well on MSE they had a telephone number and it had been agreed that you only paid what you agreed at the start of the agreement.

My Dad was charged todays fee for paying mortgage off early rather than the fe e he had agreed at the beginning of the agreement.

 

They sent a cheque in the post just filled in one form which they posted to me.

 

£10 seems cheap though?

[zootscoot]

I think that is 10,000.

 

Robert I think you are confusing the exit admin fee. The charge BBM refers to is likely to be the early redemption charge.

 

We have had three defeats in court regarding ERCs where the losers have had to pay costs between 4.5-7K.

 

Have a look through the mortgage forum which is a subforum off of other institutions forum.

 

All the best

 

Zoot