Mortgage statements are coming...
It's the time of year for mortgage statements to hit the doormat. Don't ignore them. The statement reminds your of the rate you're paying (if you don't know), how long you've got left on any special deal, and also the amount of capital and interest you've paid in the past year.
Tucked in with the statement will be a sheet of sundry charges, well worth examining. This is where the lender lists a couple of dozen charges for anything from issuing a copy statement (say £25) to closing the mortgage (anything up to £295). Read about the increases in these types of costs here.
Woolwich is the latest and worst of the offenders. Last month it shoved its mortgage closure fee up from £195 to £275.
We don't reckon anyone who's remortgaged or about to remortgage away from Woolwich should pay this extra fee, as the increase is nothing more than the lender's sneaky attempt to bolster profits AFTER the borrower has signed up. So if you're ditching Woolwich for another lender, use our letter of complaint - see here.
And, please, do let us know how you get on....
Useful links...
Coventry Building Society have also hiked up their fee from £125 (as quoted in my 2004 statement) to £195 (as quoted to me today over the phone). I am currently remortgaging to a different lender and have been advised that they are entitled to raise these fees and that they have had very few complaints. I shall certainly be complaining once the remortgage is complete.
They have also substantially increased their mortgage 'administration' fees. Another reason for moving away.
Posted by: CLAIRE HOOPER | January 21, 2006 at 10:14 AM