Advertisement

loader

Talk

Advanced search

Early Redemption - anyone's been waivered?

(16 Posts)
RightHereRightNow2017 Tue 06-Jun-17 20:32:43

Our 5-yr fixed rate mortgage with Nationwide comes to an end in October 2018. There's about an £8k early redemption penalty. I've telephoned Nationwide and they won't waiver it if I take on a new product with them and are just offering to port with a second mortgage for the additional amount.
I'm thinking about trying to see someone in branch but am I being naive to think they might waiver it to maintain my custom?
Interested to hear if anyone has successfully negotiated?

namechangedtoday15 Tue 06-Jun-17 22:52:05

No, I think that's the whole point of a fixed rate mortgage isn't it? I don't think banks have any desire to maintain customers these days. Worth a try but I wouldn't hold your breath.

RightHereRightNow2017 Tue 06-Jun-17 22:59:55

I am of the same opinion, don't want to waste my time attempting an appointment but for £8k thought maybe I should try my luck. I have a friend in banking who's surprised I'm not pushing them...

Spickle Tue 06-Jun-17 23:09:47

My early redemption fee was waivered on my mortgage with Santander, unfortunately it was because my husband had passed away. I think this is one of the few instances where lenders will waive the fee.

Equimum Wed 07-Jun-17 08:54:37

Also Nationwide, but we're having to pet and take on an additional mortgage. Our broker didn't think there was any way round it. Sorry

Kokusai Wed 07-Jun-17 08:59:15

I couldn't get out of mine unfort and had to pay a few k.

Newtssuitcase Wed 07-Jun-17 09:03:06

Thats how they make the money on those deals unfortunately.

Bluebell9 Wed 07-Jun-17 11:21:52

I'm with HSBC and I ported and tool on an additional mortgage. My fixed mortgage was a great rate so I wanted to keep it.

Can you get a better rate on a different mortgage? Would the savings be more than the early redemption fee?

KimKardashiansArse Wed 07-Jun-17 13:27:55

Slightly different but Nationwide wouldn't even waive a £65 deeds release fee for us which we were one month away from not having to pay. We waited.

ShortLass Wed 07-Jun-17 16:57:34

Would porting with an additional loan be so bad?

When you get to the end of the fixed rate on your main loan, you could always re-mortgage for the rest. Just make sure you're on a tracker or something for the additional loan and half way through a fixed term.

Or are you trying to change the term or something?

Newtssuitcase Wed 07-Jun-17 17:16:16

shortlass the point is that the OP would have to port her original loan plus the redemption fee. So she ends up with a higher mortage loan than she had originally.

Slightlyperturbedowlagain Wed 07-Jun-17 17:22:31

We sort of did a few years back but it was a 3 week 'pause' when we had a gap between sale and purchase going through. We had to pay the fee and pay the mortgage off, then had to take the same mortgage product back out with an extra product for the extra amount and had the fee refunded. It was a real PITA forced by a job move just as the housing market crashed, and we only had a couple of months to do it in or would have lost the 5k. It doesn't really help in your situation though.

honeysucklejasmine Wed 07-Jun-17 17:32:44

We are porting with additional borrowing as we have 4 years left. The new part will be 2 years fixed, then maybe we will fix it again (if we can!) so they expire at the same time. If not, the additional borrowing will move on to variable rate. It's a relatively small sum so not too bothered. We have not incurred any fees for this.

honeysucklejasmine Wed 07-Jun-17 17:35:03

Oh, and we're also having a short break between moves, so will technically pay the early repayment fee, and then have it refunded back. However this will be covered by our equity no problem at all, so we won't even notice. (Our solicitors are "keeping" the equity between sale and purchase, to avoid faff.)

VacantExpression Wed 07-Jun-17 18:22:39

You will have to port and take on the additional borrowing with a new product I'm afraid. I would say it doesn't hurt to ask but if you've phoned them already then I very much doubt you'd get anywhere.

Allthebestnamesareused Thu 08-Jun-17 21:56:57

Port the original but take additional amount on no fixed term basis so that you can remortgage either with them or a different lender as soon as you are outside the early redemption period.

Join the discussion

Join the discussion

Registering is free, easy, and means you can join in the discussion, get discounts, win prizes and lots more.

Register now