Mortgage Penalty
Saving a penalty, mortgage exit fee clamp down.
Thousands of mortgage borrowers will find it cheaper to switch lenders after a clampdown on fees.
The city watchdog the Financial Services Authority (FSA) slapped new rules on exit fees, a penalty charged when borrowers repay early or switch to another lender. The move follows complaints from home owners after a big jump in exit fees- many of which are far higher than borrowers were told when originally taking out their home loans.
And it could trigger complicated claims from borrowers who have switched mortgages in the last four years. Clive Briault, FSA boss of retail markets, said “These measures will stop borrowers being surprised by unexpected increases in fees”.
People will know when they sign up what fee they will pay on exit.
Broker Ray Boulger said penalties had risen 33% in two years.
Mortgage exit fees reclaiming
If you have paid your mortgage in full over 2 years, it’s likely you were over charged by your old lender. If you have switched mortgage in the last 4 years you can claim back the charges by using the template letters to print off and send.
Please have a look at (FSA) for more info on mortgage exit fee reclaiming.
If you know your details use this template mortgage exit letter.
If you don't know your details use this template mortgage exit letter.
If you can't get your details use this template mortgage exit letter.
