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17 replies

LILAMAY · 03/07/2008 20:07

I really hope someone can help me with this - it's very longwinded so please bear with me!!

We went to an independant mortgage advice centre (which we had used before with no problems) to remortgage as our current deal is due to finish at the end of July. We sorted out a good rate of 5.75% and everything was fine until I had a phone call from the guy last week saying that he had missed the deadline to submit the mortgage, and that we would have to apply for a new rate, which would be 6.29%, plus pay another £1500 fee (which we had already paid on the first mortgage product) - at that time he was very apologetic and kept saying that he would pay the fee, and that he would have to make up the difference between the two rates. However, we have had a phone call from him today saying that he can't afford to pay the fee, and that he will meet us halfway on the difference! We've had to pay two fees, our payments have increased and he's refusing point blank to reimburse this! Can he do this?!!! Please help!!

OP posts:
bratnav · 03/07/2008 20:12

Report him to the financial services ombudsman/FSA, also contact the mortgage company direct to see if they will do anything to help.

He can't expect you to pay for his admin ineptitude

bratnav · 03/07/2008 20:12

Report him to the financial services ombudsman/FSA, also contact the mortgage company direct to see if they will do anything to help.

He can't expect you to pay for his admin ineptitude

claricebeansmum · 03/07/2008 20:13

Presumably he is regulated by some body or other? I really don't think that you should be paying another fee but I am not sure you can ask him to make up the difference on the mortgage rate.

TheOldestCat · 03/07/2008 20:14

This doesn't sound at all right to me.

Complain here

smallwhitecat · 03/07/2008 20:16

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smallwhitecat · 03/07/2008 20:18

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tissy · 03/07/2008 20:20

are you sure this isn't some kind of scam? Is he really expecting you to pay the admin fee TWICE?

Report him to the FSA, and take your business elsewhere

LILAMAY · 03/07/2008 20:25

I do think he is just trying it on - when we spoke last week he was saying that he would talk to his boss about it, but that we would not be left out of pocket, but now all of a sudden we get this abrupt phone call saying sorry, he can't afford it and that's it! My husband took the call but I need to speak to him tomorrow and just need some ammunition - was thinking of mentioning solicitors?

OP posts:
CarGirl · 03/07/2008 20:27

But if you paid the £1,500 fee that means he has booked the mortgage deal because that is what the fee is for surely?

LooptheLoop · 03/07/2008 20:28

Ask for the recordings of the calls if this goes to dispute - I think if he is FSA regulated his phones calls should all be recorded and stored.

TheOldestCat · 03/07/2008 20:29

Definitely go to the FOS (Financial Ombudsman Service - see my earlier link or the one from smallwhitecat) rather than the FSA, because they can't investigate individual consumer complaints.

Do mention to him that, as he works for a regulated firm, you know that he must abide by the FSA's rules and you will go to the ombudsman if he doesn't put things right.

LILAMAY · 03/07/2008 20:29

Well, from what I can understand from him, the mortgage deal was reserved, so to speak, but because he missed the deadline to submit, too bad, we lose the fee and we lose the deal.

OP posts:
claricebeansmum · 03/07/2008 20:29

Don't mention solicitors - the mention of the financial ombudsman should scare them enough.

TBH I would now be talking to his manager. Sounds to me like he has screwed up and is trying to cover up. Mortgage advisers are up against it at the moment and his job is probably on the line already.

Talk to his manager - explain - if you go straight to the ombudsman they will ask if you have given the firm to make it good and will not deal with you until then.

If the manager does not help then it will be off to the ombudsman for you.

You could also write a letter to one of the broadsheets - the Daily Telegraph money problem woman is excellent.

tissy · 03/07/2008 20:30

so he should compensate you- then you take your business elsewhere

claricebeansmum · 03/07/2008 20:30

Good point CarGirl - where has the money gone?

Flocci · 03/07/2008 20:53
  1. you must negotiate with the company first or the Financial Ombudsman won't talk to you. They only get involved when attempts to sort it out between you have failed. So go straight to the company manager and deal with them directly, not the moron who has made the mistake.

  2. the fee is paid over to the mortgage company when you apply for their mortgage product, so either he made the application and paid or he didn't in which case the money has not been paid over...... so i would guess that in this case the fee cannot have been paid over. The fee and the mortgage submission go together. Either he is lying or he truly has no idea what he is doing.

    3)I can well believe that you lost out on the product that you wanted by mising a deadline, and you may demand compensation from the company for that alone. Worth contacting the mortgage company directly if you can prove that you had submitted your application to thebroker in time, but don't get your hopes up.
clam · 03/07/2008 21:25

This is outrageous! £1500 has been paid as an arrangement fee, but no mortgage has been arranged?? Dodgy. Don't let it pass. Stick to this conman's coattails like chewing gum until he gets it sorted, which means nothing less than a refund of £1500.
Plus interest!

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