Tariff of Mortgage Charges

Transcription

1 Tariff of Mortgage Charges

2 Tariff of Charges for Mortgages 1st January 2015 Hinckley & Rugby Building Society charges mortgage applicants and borrowers for a variety of services and facilities relating to mortgage applications and to additional administration following completion of your loan. This leaflet provides you with a list of the fees and charges that will be charged to and be payable by applicants or borrowers in different situations. Charges may also be payable for services other than those listed in this Tariff. If you request a service that is not listed in this Tariff, you will be informed of the charge applicable. Charges payable in connection with new mortgage applications, additional borrowing applications and product switching applications, for example Application fees, Completion fees, Property Assessment fees and Early Repayment Charges, are detailed in Mortgage Product Key Features leaflets and in mortgage product details in the mortgage section of the Society s website, hrbs.co.uk This Tariff will be revised from time to time. If we change any of our charges we will give you reasonable notice of the changes. If you need any help in understanding any of the charges listed in this Tariff, please contact us on Charges for services or facilities requested by applicants and borrowers are payable at the time the service or facility is used. Unless otherwise stated, if charges are not paid at the time, these will be added to the mortgage balance and will attract interest charges until repaid to the Society. For Consumer Credit Act loans, any unpaid charges are placed on the main mortgage account. Index Section 1. Mortgage Service and Administration Charges Section 2. Mortgage linked Offset Savings Account. Non-transactional charges Section 3. Charges relating to Title Documents and closing down your mortgage Section 4. Charges in connection with payment arrears on a mortgage account Section 5. Charges for other breaches of mortgage terms and conditions Section 6. Charges associated with repossession of the mortgaged property

3 1. Mortgage Service and Administration Charges Additional Borrowing administration - 75 This fee, which is in addition to any product fees payable, covers the administration costs involved in processing your application for additional borrowing. Where a solicitor or licensed conveyancer is required to complete any legal work in connection with your additional borrowing, you will be responsible also for their fees. A new valuation may be required, in which case a revaluation of property fee will also be payable. Agreement to legal documents for changes to your property - 75 This fee covers the costs of considering and administering changes to the legal title for your property, for example the release of some part of the security from the Society s mortgage, granting of Rights of Way or Easements, Deeds of Variation or other changes requiring legal documentation. A solicitor or licensed conveyancer will be required to complete the legal work in connection with your request and you will also be responsible for their fees. Where the Society requires an up to date valuation prior to agreeing to such changes, a revaluation fee will be required in addition to this fee. Agreement to Residential Tenancy - 30 Unless your mortgage has been arranged as a Buy to Let mortgage, you must obtain our formal written consent before you let your property. If your mortgage was arranged on a residential mortgage product and you wish to let your property, your mortgage will be switched to the Society s Buy to Let Basic Variable Rate mortgage product. This fee covers the administration costs of considering the proposed agreement. Amendments to Mortgage Offer - 50 This fee will be charged if it is necessary for a new mortgage offer to be issued due to a change in any of the information provided to the Society. This fee represents the Society s administration costs of reassessing the mortgage offer and issuing any amended offer documentation. Annual mortgage statement - Duplicate or replacement - 15 A detailed mortgage statement will be sent to your registered address without charge, around three weeks after the end of our financial year on 30 November. If you ask us for a copy or a replacement statement, this fee covers the administration costs of retrieving the account information and producing a new statement. Archived Record fee - 20 This fee covers the additional administration costs of retrieving and reviewing older records from storage if required to answer an enquiry from you about your mortgage account. Balance or statement breakdown - 15 This fee covers the administration costs involved in producing detailed information relating to your mortgage account over and above or in addition to the information provided in your annual mortgage statement. Certificate of Loan Interest - 20 Interest charged to your mortgage over our financial year, 1 December to 30 November is shown in your annual mortgage statement. If you require a certificate of loan interest covering a different timescale, for example covering the HMRC tax year or other financial years, this fee covers the administration costs of calculating the split of interest over the required period and producing each separate certificate. Change from Interest-Only mortgage to Repayment mortgage - No Charge There is no charge for restructuring your mortgage and informing you of the amendments to your mortgage account.

4 Change of Mortgage Term - 20 Except in cases where an Arrangement fee and/or a Completion Fee is charged, a term change fee is payable to cover the administration costs involved in restructuring your account and informing you of the amendments to your mortgage. If you have an Interest-Only mortgage, you will be required to provide confirmation that you have a mortgage repayment vehicle that will be adequate to repay the mortgage balance in full at the end of the new mortgage term. CHAPS Payment fee - 25 This will be charged for each payment the Society is required to send with same day value through the Clearing House Automated Payments System (CHAPS). Copy of records held under the Data Protection Act - 10 This charge is payable if you request a copy of records held by us about you following a subject access request in accordance with the Data Protection Act. Direct Debit payment unpaid or recalled - 20 If a Direct Debit fails at first or second presentation, a fee of 20 will be charged to your mortgage account for each failed or recalled Direct Debit payment. The mandate will be cancelled after two consecutive Direct Debit payment requests have been rejected or recalled. This fee covers the Society s administration costs of adjusting your mortgage account payment record, and writing to you. Cheque receipt returned unpaid - 10 This fee covers the administration costs of debiting your account and notifying you if any cheque you pay into the account is returned unpaid. Extension of Mortgage Offer - 30 New mortgage and additional borrowing offers are normally valid for four months from the date of issue. This fee will be charged if you ask the Society to extend the life of a mortgage offer beyond its normal expiry date as quoted in the offer of advance. This fee represents the Society s administration costs of reassessing the mortgage offer and issuing any extension documentation. Lender s reference - 50 This fee covers the administration costs of completing a mortgage reference request received from another lender with whom you propose taking out a new mortgage. Mortgage product switch - 60 Except in cases where an Arrangement fee and/or a Completion Fee is charged, a product switch fee is payable to cover the administration costs involved in restructuring your account and informing you of the amendments to your mortgage. If you switch product during any Early Repayment Charge period, then an Early Repayment Charge will also be payable. If you have an Interest-Only mortgage, you will be required to provide confirmation that you have a mortgage repayment vehicle that will be adequate to repay the mortgage balance in full at the end of the mortgage term. Mortgage questionnaire - 75 A charge is made by the Society to another lender, when that lender (with the borrower s consent) asks the Society to complete a second mortgage questionnaire. In most cases the other lender will pass this charge on to the borrower. Pre-completion product change administration fee - 50 If we have issued a Mortgage Offer to you and you ask us to change the mortgage product before your mortgage starts, this fee is payable to cover the costs of re-assessing the mortgage offer and issuing the replacement documentation. This fee will only be payable if there are no additional product charges payable.

5 Registration of second or subsequent charge - 25 If you or another lender requests the Society s consent to register a second or subsequent charge against your property, this fee covers the Society s costs for this consent and for issuing the consent form. Reinspection of property - 75 This fee covers the costs of instructing an independent valuer to inspect the property, for example in connection with a stage payment or release of retention, the valuer s inspection and report to the Society, and the administration involved in receiving and assessing the report. Reinspection reports are for the Society s use only, and borrowers will not receive a copy. Revaluation of property This fee is charged where it is necessary for the Society to have an up to date valuation, for example in connection with an additional borrowing request or some change to the scope of the security. Additional borrowing may require a new full valuation of your property, and the fee for this would be payable in addition to other fees in connection with an additional borrowing application. This fee covers the Society s administration costs and the costs of the original valuer re-inspecting or reassessing the property and providing the Society with a new valuation based on the changes requested. Revaluation reports are for the Society s use only, and borrowers will not receive a copy. Standing Order payment recalled - 10 This charge will be made to your account if a standing order payment to your account is recalled by the originating bank. This fee covers the Society s administration costs of adjusting your mortgage account payment record, and writing to you. 2. Mortgage linked Offset Savings Account. Non-transactional charges CHAPS Payment fee - 25 This will be charged for each payment the Society is required to send with same day value through the Clearing House Automated Payments System (CHAPS). Cheque receipt returned unpaid - 10 This fee covers the administration costs of debiting your account, notifying you if any cheque you pay into the account is returned unpaid and bank charges incurred to the Society. Copy of records held under Data Protection Act - 10 This charge is payable if you request a copy of records held by us about you following a subject access request in accordance with the Data Protection Act. Duplicate Quarterly Offset Savings Account statement - 5 Statements are issued quarterly for Offset Savings accounts. If you request a copy of a statement already issued, or an interim statement, this fee covers the cost of producing an additional copy or statement for you, and posting this to you. Lost passbook - 10 If you lose your Offset Savings account passbook, this fee covers the administration costs of issuing a replacement passbook and posting this to you. Request for a copy cheque - 10 If you ask for a copy of a cheque that you have paid into your account, this is the cost of retrieving the copy of the cheque and copying this for you.

6 Standing Order payment recalled - 10 This charge will be made to your account if the originating bank recalls a standing order payment to your account. This fee covers the Society s administration costs of adjusting your mortgage account payment record, and writing to you. Stopping a cheque - 10 If you have made withdrawal from your account by cheque payable to you as the account holder, and you require the Society to stop payment of it, this fee represents the Society s administration costs of this. If the cheque is payable to a third party, and you have given the cheque to the other party, the Society cannot stop payment of it. 3. Charges relating to Title Documents and closing down your mortgage Administration fee on redemption of mortgage Also referred to as a Mortgage Exit Administration Fee (MEAF), this charge is made when you redeem your mortgage and we release your property from its charge to the Society. This fee includes the costs of cancelling the Society s Charge at the Land Registry, and of sending any title documents that we may hold to you, to another lender or to another authorised party. Copy extracts from Title Documents - 25 This charge is made if you request a copy or copies of any document held by us in respect of your mortgage. This covers the administration costs of retrieving your Title Documents and photocopying up to five requested extracts. Deed of Postponement - 65 This fee is charged when you borrow additional funds from the Society and you have an existing second charge that is not being discharged. This fee covers the administration costs of executing a Deed of Postponement and the associated Land Registry costs. This is to ensure that the Society maintains its first charge. Deeds Production - 25 This fee covers the administration costs of retrieving any Title Document that we may hold and of sending these to you or your solicitor, other than on redemption of the mortgage. Early Repayment Charge (ERC) - Varies with mortgage product If you repay all or part of your mortgage early, you may be required to pay an ERC. Where applicable, this charge will be made to recover any costs incurred by the Society in setting up your new mortgage product and will vary dependent on the chosen mortgage product. Any ERC applicable, and the maximum amount, will be shown in your Mortgage Offer. Redemption or settlement statements - Up to 20 First request - No Charge Subsequent requests, within 2 months of first request. Each statement - 20 If you wish to repay your mortgage in full, you will require a redemption or settlement statement, which will detail all interest and other charges calculated up to your preferred settlement date. Redemption statements will only take account of payments actually received up to the date of production of the statement. There is no charge for the first statement requested, but there will be a charge of 20 for each additional statement requested within two months of the first request. Release of Life Policy - 20 This fee covers the administration costs of releasing, reassigning or substituting any Life Policy held by the Society in connection with your mortgage.

7 4. Charges in connection with payment arrears on a mortgage account If you fall behind with your mortgage payments, you will be in arrears and may become liable to charges. If you are suffering from financial difficulties and are unable to make a mortgage payment, please contact us immediately on We will do all we can to help you. The sooner you contact us, the more chance we will have to help you. The Society does not make a standing charge for any account in arrears. Arrears related charges are added to a separate non-interest and non-arrears bearing sub-account meaning that no payments or part payments are directed to this sub-account until the arrears on the main account have been cleared. Arrears visit to your property - Up to 125 If your mortgage is in arrears and we have been unable to discuss this with you, we will, on giving you reasonable notice, arrange for a field agency counsellor to visit you at your property. This fee covers the cost of instructing a firm of field agents to visit you in order to ascertain the reason for your arrears, your payment proposals and discussing ways of resolving your payment difficulties. Arrears letter charge - 15 This fee will be charged for writing to you on each occasion that the arrears amount to two or more months payments, and you have not made any agreement with the Society to repay the arrears. This charge will apply to any letter we send to you, your representatives or other connected parties, for example a guarantor. Arrears letter charges are not applied on any arrears account that is subject to an agreed payment arrangement that is being adhered to. Arrears file preparation for legal action This charge covers the costs incurred by the Society in preparing the papers prior to court proceedings, and of issuing these documents to the Society s solicitor. The costs of the Society s appointed solicitors and enquiry agents will vary and will be charged to you in addition to this fee. 5. Charges for other breaches of mortgage terms and conditions Lapsed property insurance policy - 30 If we are notified by your property insurance provider that your Buildings Insurance policy has lapsed, this fee is charged to cover the administration costs of arranging alternative cover and informing you of changes to your mortgage. This fee will be in addition to any premium the Society has to pay to an insurance company for alternative financial interest only insurance cover. Non-payment of Ground Rent/Service Charges on Leasehold property - 25 This fee applies if your landlord serves a notice for non-payment of ground rent, service charges or other payments due under the terms of your lease. The unpaid ground rent, service charges or other unpaid charges demanded, will be charged to your mortgage account in addition to this fee. Tracing a borrower - fee varies according to circumstances and agency used If a borrower vacates a residential property or moves without notifying the Society of a new correspondence address, and it becomes necessary to contact that borrower, the Society will where necessary employ an external tracing agency to locate the borrower. All costs incurred by the Society as a result of this will be payable by the borrower. Unauthorised occupancy of the property - 30 If your mortgage was granted on an owner-occupier basis, you must obtain the Society s consent prior to vacating the property (unless redeeming the mortgage), or allowing other persons to occupy the property. If you cease to occupy the property yourself, the Society will switch your mortgage to a mortgage product more appropriate to the new use or occupancy of the property, for example to our Buy to Let Basic Variable Rate product. This fee covers the Society s costs of researching the change of occupancy, of making the changes to your mortgage and of issuing notification of the changes to you.

8 6. Charges associated with repossession of the mortgaged property If you are in breach of the terms of your mortgage including where your account is in arrears and no satisfactory arrangement has been made to repay them, the Society may take action to enforce the terms of the mortgage against you. The fees payable by you in such circumstances are dependant upon the nature and extent of the proceedings the Society takes. They could include administrative and/or legal or other costs associated with proceedings in the County Court or the appointment of a Receiver. Typical charges that may apply are listed below. Other charges may apply depending on the circumstances. If you are likely to be affected by any other charges, you will be informed of these by letter. Preparation of particulars of claim and witness statement leading to court hearing This fee is charged for the administrative costs involved in the preparation of the necessary particulars of claim and witness statement, service of required notices and all other necessary documentation resulting in a court hearing. Adjournment of hearing This fee covers the administrative costs in the preparation of the necessary particulars of claim and witness statement, service of required notices and other necessary documentation but where the hearing is adjourned prior to it taking place, for example, where a satisfactory arrangement has been made. Reinstatement of possession hearing This fee covers the administrative costs of reinstatement of a possession hearing, preparation of witness statement, service of required notices and other documentation resulting in a court hearing. Application for, or reissue of possession warrant - 50 This covers the administrative costs of preparing a warrant or reissuing a warrant for possession of the property. Application for suspension of possession warrant - 60 This covers the administrative costs of dealing with an application to suspend a warrant of possession. Other Court costs. Fees shown in this section may be subject to change if HM Courts and Tribunals Service increases its court fees. If you are likely to be affected by any of the charges in this section, you will be informed by letter of any increases. For Charges on properties in possession. Please refer to our separate Tariff of Mortgage Charges Relating to Properties in Possession, which is available on request. Court issue fee for Mortgage Possession summons The court fee for the commencement of legal action and for a hearing date to be set. Court issue fee for Possession Warrant The court fee for requesting an eviction date. Court issue fee for requesting an adjournment of a hearing - 50 This fee charged is charged by the Court if the Society asks for an adjournment of a hearing date. Solicitor agent s court attendance fees - variable. The attendance at court by an agent acting on behalf of the Society. The costs of attending Court to represent the Society will vary according to the Court area. Hinckley & Rugby Building Society 1/139-01/15 Upper Bond Street, Hinckley, Leicestershire LE10 1DG tel: fax: hrbs.co.uk The Society is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and Prudential Regulation Authority. The Society s registration number is