Santander Mortgage Arrears fees letter - Need help

[Jam555s]

Hi there.

A few years ago i had a serious gambling addiction, in which i fell behind in my mortgage with Santander (amongst other accounts)

After some professional help, i now no longer gamble, and have worked hard to clear my mortgage arrears

I plan to write to santander to claim back arrears fees and legal charges relating to that period, as i feel i was a vulnerable customer, yet bank did not try and help me, but made a lot of money out of me while i was in arrears

i have a rough letter, please can you all look over the letter and give me your advice, or even a better letter,

Thanks Team


F.A.O -Mortgage complaints department
Complaints, Santander UK PLC,
PO Box 1125,
Bradford
BD1 9PG



Mortgage number- *****************
Mortgage Address - ************************* ****

I would like to make a formal complaint in relation to my mortgage with Santander and how I felt I was treated during my time within you’re collections department and my spell of financial difficulty.

In September 2011, I fell behind with my mortgage due to a severe gambling addiction which I notified you at the time. I feel you were very unsympathetic with my personal situation and did work with me to put appropriate arrangements in place.

I completed several I&E during my time within the collections department however as discussed on one of my calls to your department I am the sole contributor to the bills and the mortgage so these would all show as unaffordable to pay my contractual monthly payment + an additional amount to the arrears . The other name on the mortgage, Mrs ********(my mother) did not live with me nor contribute to the mortgage. I was never asked any questions related to my situation, or discuss my I&E and felt pressured in to maintaining arrangement’s which were unaffordable and caused me to borrow additional funds from payday lenders which resulted in me falling further into difficulty and thus incurring more charges for broken arrangement’s.

I believe Santander did not treat me fairly while my account had fallen behind, I firstly fell they were too quick to pursue legal action without considering all other options which resulted in me incurring legal charges from yourself, as well as solicitor charges from you’re solicitors and having to pay a solicitor of my own to help causing my to fall even further behind and in a worse off position.

I fell the £40 per month charge is excessive and does not truly reflect the work involved in monitoring my account while I was behind.
I believe these charges are a penalty charge and legally unfair in terms of the 1999 Unfair Terms in Consumer Contract Regulations (SI. 1999/2083). I believe this because:
• charges have been imposed on my default, namely because I incurred mortgage arrears;
• default charges at common law must reflect actual costs and the penalties you have imposed far exceed any actual additional administrative costs that my default has incurred; and
• imposing fixed monthly charges because I am in arrears with my mortgage requires me to pay a disproportionately high sum in compensation to you, particularly as during most months I am in arrears you have little or no contact with me; and therefore these charges are legally unenforceable under reference to para 1(e) of schedule 2 to the 1999 Regulations.
Your mortgage default charges are very similar to credit card default charges.
On 5 April 2006 the Office of Fair Trading (OFT) announced that credit card default charges which are set at more than £12 will be presumed to be unfair and unenforceable in terms of the 1999 Regulations. Charges above this sum will be subject to legal action by the OFT (press release 68/06 - online here: http://www.oft.gov.uk/News/Press+rel...2006/68-06.htm).

The OFT stated that a charge is not fair simply because it is below this sum, and I believe that a reasonable charge would be no more than your loss of base rate interest on the sums I have failed to pay. For example, if I was in arrears of £500 for one month your loss would be:

(Base rate interest) x (level of arrears) x (length of time in arrears)
5.75% x 500 x 1/12 = £2.39

As a resolution for my complaint I would ask for all fees including legal fees/solicitor fees refunded as well as a payment for the distress and inconvenience I have incurred.
Please feel free to contact me on the number below if you need any further information,
Many thanks,

James **********

[Esio Trot]

Re: Santander Mortgage Arrears fees letter - Need help

Letter looks good to me - other than inviting them to phone you. You must never ever speak to them by telephone, as they record calls and it is easy to say something using wrong words that they will use against you. Change that sentence to:

As this matter is so important, I remove any permission you have to telephone me. If you have any query before being able to respond formally, these must be made in writing.

ALSO, you need a call to action at the end.

You must acknowledge my letter by return and I see no reason why you cannot respond in full within fourteen days. If you are unable to achieve this, in your acknowledgement you must tell me when you will reply in full.

Best of luck!

[Mic]

Re: Santander Mortgage Arrears fees letter - Need help

DO NOT talk to them on the phone, ask for a face to face meeting at a local branch to discuss matters. If they accept, which I doubt, take someone along to act as a witness to anything that transpires.

Always be reasonable, and don't loose your cool. Have a pre-written statement/script to abide by, with a list of prepared questions. Do not be drawn into answering any questions which may compromise you at a later date. Take copies of proof of anything with you and if they ask for such proof, do not give them anything on the spot.

Make sure you send the letter recorded delivery, as they will try to squirm out of admitting to any communication from you, if they can.

I have had problems with Santander over many years and have learned their ways of misusing information and not providing information. They have never agreed to a face to face meeting, nor have they ever written in answer to any letter sent, unless it has come from an official body.

I suggest you make a data access request and be prepared to follow it up with a complaint to the Information Commissioner, when they do not provide the information.

Good luck with your endeavour, but unless you are prepared for court action, I doubt very much that this company will even acknowledge your letter, let alone admit fault.

Read your contract with them, paying particular attention to any clauses, as they may well have breached that contract in some way.