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Deeds’ charge rocks mortgage adviser

Northern Rock is letting down its customers with poor admin and unfair charges, says The Mortgage Portfolio sole trader Danny Lovey.

One of Lovey’s clients wanted to move from one Northern Rock mortgage to another but found she was charged a deeds’ release fee twice.

The client was not moving away from Northern Rock and she had not completed her mortgage payments. Northern Rock says one charge was placed erroneously but it stands firm on the first charge.

The error resulted in a 500 fee being charged to the client. Lovey believes a deeds’ release fee should not have been charged in the first place. The fee is normally charged by the lender when it has released its charge over the property deeds and returned them to the solicitor.

The Basildon broker says he has had little encouragement from Northern Rock to suggest it is taking steps to deal with admin problems.

Lovey says he has suffered poor admin and processing errors from the lender. He says: “In an age where treating customers fairly is paramount, lenders have customers over a barrel. Northern Rock is a mercenary organisation when it comes to charges.”

Northern Rock did not comment.


Gang of four

The ball really is rolling on trust taxation reform. This, combined with the relatively new changes driven by the Trustee Act 2000, makes trustee investment a very interesting area for advisers to be engaged in if they have relationships with the professionals who are the gatekeepers to trustee investment business – solicitors and accountants.

Boulger on Mortgages

Now the general election is behind us there is another important election, or rather referendum, coming up. I doubt that the gilt market would react very much to the result of the general election as the difference in macro economic policy between the two main parties, at least for the first two years after the election, is not big enough to generate wild swings in interest rates.


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