Hello, can I ask some of you AAM mortgage experts a question please. My bank closed my mortgage account with absolutely zero communication with me.
I have been overpaying over the years and made my last overpayment last week leaving a small (intentional) balance of less than €100. Usually when I make an overpayment I get a letter a week later acknowledging it and saying it has reduced the capital and my new repayment is €x.
However, I logged on this morning to check if wages went in and spotted a small credit balance on the mortgage account. When I went in to the account there was a credit to it with the transaction description “To Close”. There has been no debit (yet) from any of my accounts into my mortgage account for this transaction. I’m assuming the small credit balance remaining is the accrued interest which will be debited in the coming days.
There are over 11 years left on the mortgage term and I had every intention to let it run the course for my own reasons. Is this usual practice and are they actually allowed to clear small mortgage balances. I looked at T&Cs in mortgage agreement and couldn’t spot anything. I will speak with the bank but it’s just a bit frustrating as clearing a mortgage is a land mark occasion for most and I didn’t even know when it happened. Plus, I’m not in a position to carry out what needs to be done on clearing a mortgage at the moment – collecting deeds, land reg. etc. I expected only to have to do this 11 years down the line.
Thanks for any comments.
PS, I know I’m lucky in today’s environment but it did take huge sacrifices over the years.
I have been overpaying over the years and made my last overpayment last week leaving a small (intentional) balance of less than €100. Usually when I make an overpayment I get a letter a week later acknowledging it and saying it has reduced the capital and my new repayment is €x.
However, I logged on this morning to check if wages went in and spotted a small credit balance on the mortgage account. When I went in to the account there was a credit to it with the transaction description “To Close”. There has been no debit (yet) from any of my accounts into my mortgage account for this transaction. I’m assuming the small credit balance remaining is the accrued interest which will be debited in the coming days.
There are over 11 years left on the mortgage term and I had every intention to let it run the course for my own reasons. Is this usual practice and are they actually allowed to clear small mortgage balances. I looked at T&Cs in mortgage agreement and couldn’t spot anything. I will speak with the bank but it’s just a bit frustrating as clearing a mortgage is a land mark occasion for most and I didn’t even know when it happened. Plus, I’m not in a position to carry out what needs to be done on clearing a mortgage at the moment – collecting deeds, land reg. etc. I expected only to have to do this 11 years down the line.
Thanks for any comments.
PS, I know I’m lucky in today’s environment but it did take huge sacrifices over the years.