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Bank slow to pay back money into mortgage account

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I had a mortgage with a certain large high street bank.  Now as you may know, it's worth shopping around every now and again to get a better deal and I am personally keen to make sure that I don't pay more in interest than I have to.

I had been paying a fixed rate of interest on mine for the last 3 years and as the term for the fixed rate was about to expire, I decided it would be prudent to look around to see if I could save some money.  This process can take time, as you have to find your new mortgage, go through paperwork and deal with lenders and solicitors etc.  All in all, it can be a very stressful thing to have to do.

... took an extra payment out of my account

My issue here is not with my new lender, it is with the bank that I took out the original mortgage with, because they seem to be completely incompetent and it would seem they are about to cause my some considerable financial inconvenience.  This mortgage had been redeemed well before the payment was due to go out on the 2nd of the month, and yet they still took an extra payment out of my account.

Mortgage payment went out even after old mortgage had been redeemed I discovered this on the 7th of the month and immediately informed the bank where a service advisor told me that the money should be back in my account within 48 hours.  This was okay with me, a mistake had been made and it would be rectified well before the payment to my new mortgage was due to go out on the 15th of the month.

Now okay, I accept that I should have cancelled the direct debit on my account.  But I also think the bank should have built step into their own mortgage closure process. However as I said, it was just a mistake, no single party at fault and after all they promised me that the money would be back in my account.

money not cleared ... insufficient funds I would undoubtedly be charged a fee

On the 14th of the month, I happened to check my bank account and noticed that payment had not been returned to my account. I decided to contact the bank to find out what had happened. The advisor I spoke to apologised and told me that the request hadn't been put through immediately and the BACS transfer may not have cleared in my account by the 15th.  I was absolutely fuming as my new mortgage payment was due to go out the next day and with insufficient funds I would undoubtedly be charged a fee for missing it.

I am now in the process of drafting a formal letter of complaint to the bank and worrying about these extra charges!


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The Customer Always Pays

The Customer Always Pays

Who should pay when you have a complaint and you are in the right?

We have been overcharged for a transaction on our account by £130.

We have phoned 4 times to get it corrected. Total cost of premium number telephone calls to date = £25.

Who should pay for this? Why are we deailing with incompetents who cannot resolve the matter on the first call?
09/02/13 The Customer Always Pays
-10
honeydog

honeydog

Similar thing happened to my husand and I, we changed mortgages to be redeemed on a particular date, the old mortgage provider still took out the old mortgage, no idea when we will get it back. Solicitor had instructed us in writing not to cancel the Direct Debit for the old mortgage, so we followed that instruction, and wish we had not. Nearly £1000 short until they pay it back.

Its a good way of getting people's money interest free by the banks, I will inform the financial ombudsman that banks are now doing this new trick, as we have never experienced it before when changing mortgages. They do anything to get as much money out of you as they can.
01/11/11 honeydog
-15
grumpyoldwoman

grumpyoldwoman

AFCV, congratulations on your excellent poem, and further congratulations for managing not to use the obvious rhyme for "bankers"!
09/02/11 grumpyoldwoman
-14
the real athair_siochain,

the real athair_siochain,

When you borrow money from a Bank, where does it come from?? many will say from the deposits. you would be wrong. most of the money lent comes from future loan repayments in America some banks were lending 65 times the amount that was deposited in their Bank, banks go bust when people cant pay their loan repayments, you have to wonder how do economic advisers come up with figures,,
A friend of mine went overseas but all his cash on Bank Cards he had about 4000 euros on the cards in an other currency-- he had difficulty with the cards,-- on return he had 3000 eros worth of money on the cards that he was unable to use. when he cashed in to get his Euros back he was short changed by 410euros because the value of the currency on his cards had devalued, remember the money never left the card , my friend said he would go public because he could not use the card, the bank manager paid him the 410 euros, the bank did not lose a cent but the books would show they did,, we need a world currency to stop people making money out of money.....
22/07/10 the real athair_siochain,
-9
gobby

gobby

banks r a total joke I used a cash point the other day to take rent out but the cash point debit my account but never gave me the money and I have been told it is going to take three weeks to get it back which is no good to me when I have still got rent to pay
31/10/09 gobby
-18
Sam, the tiger

Sam, the tiger

I'm sure you meant well, Beth. But the spread of media forms has downloaded us with so much about the capital markets that we are up to our ears with the same of the stale stuff. Candidly, most of us are swamped with all shapes and varieties of "Ponzi" scheme.

An a posteriori look-back is so 20-20 vision-wise, so doggone inductive that we could count the alternate ways things could have gone but did not; or we would not be in the financial mess we are in.

We are still in a quandary as to whether the Keynesian approach or its Hayakian antithesis, swinging back and forth as it were, should be tapped to straighten the global economy.

I can't take it anymore even from most of brilliant of broadsheets like the Washington Post, New York Times, Boston Globe, Wall Street Journal, Globe and Mail - and from the Economist, Walrus, F.E. Economic Review. The information explosion is also implosive.

Man, I'm just doggone tired! Thanks, nonetheless, Beth. This is indeed an excellent website.
10/01/09 Sam, the tiger
-19
String 'em Up

String 'em Up

What the banks have done is equivalent to debasing the currency.

http://en.wikipedia.org/wiki/Debasement

I believe it to be treasonable: high treason. Those guilty must suffer the extreme penalty.
16/12/08 String 'em Up
-18
Easter Day 2008

Easter Day 2008

Not only are bank slow to return your money, they are mighty quick to pass it onto crooks like Madoff, if it makes a fast buck.

Hang them all up out to dry in public. They are traitors. Crucify them for their greed, and everyone associated with the governance of the financial industry.
15/12/08 Easter Day 2008
-11
Chris

Chris

The following are facts.
On 17th February, I tried to use my on line account to close an Abbey eSaver account. It failed to recognise my details on 3 attempts. Therefore I phoned Abbey telephone banking to request closure of the account.

They said their computer was down and could I call back later.

I asked 'how much later'. They said they did not know.

I asked them to call me back when it was working. They refused.

In desperation I decided to use the postal service.

It was closed on 19th February.

I spoke (to Jenny) today (29th February) to say I still have not received any payment from them. She said they could stop the cheque and send another. I asked if they would like to stop the cheque and do an electronic transfer but they refused. I then spoke to her colleague who said they could not stop the cheque for 10 working days. This means I have to wait another 6 days to receive my cheque before they will do anything, and even then the only thing they will do is POST another CHEQUE. In the meantime THEY are earning interest on this large sum, rather than me.

I have to say I am extremely upset about this, and I will be referring it.

My suspicion is that the problem is NOT with the postal service.
15/04/08 Chris
-4
Linda

Linda

Banks are slow to do anything, not just returning money when they are in error. Personally I've never had good experiences with the Natwest. Bank with Lloyds these days although my mortgage repayments go out from my Barclays account.
13/03/08 Linda
-14
Whats in your wallet

Whats in your wallet

Imagine how much more we have to pay if the Bank of America buys Barclays, we will have to pay a mandatory US-poodle fee.
09/12/06 Whats in your wallet
0
Berreynice

Berreynice

Banking Service charges are a tax on the working poor imposed by rich shareholders to maximize their returns
03/11/06 Berreynice
-4
Bob

Bob

If you have problems with your bank,make life difficult for them.I was charged £30:00 for being just £6:00 over the top for less than 24 hrs.This was due to an oversight by someone not paying a cheque in without my realising. At the time I had opted not to receive paper statements on four accounts so I ticked the box asking for paper statments and then paid a regular 50p into each account.This will cost my bank a lot more in the long run than the £30:00. I know that sounds vindictive but banks will use any excuse to make more money on your account and excessive charges are illegal.
22/09/06 Bob
-7
Loan Scout

Loan Scout

Skeaklessthinkmore: A useful contribution. Clearly you've got nothing better to do and must obviously work for one of these banks that drag their heels returning the money to this person. Maybe you work for NatWest?
08/08/06 Loan Scout
-10
skeaklessthinkmore

skeaklessthinkmore

"as you may know" is a stupid and worthless phrase that just takes up space. "may or may not" is another one I see a lot.
19/02/06 skeaklessthinkmore
-2

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