First Mortgage Payment - Arrears or Advance

F

F@ces

Guest
Hi,

I'm a first time buyer and have finally moved into my new home at the weekend (in Dublin). My g/f and I have a joint mortgage.

Our solicitor drew down the final cheque (without explicit authorisation mind you, but that's another story) on the 24th April. We didn't return it as we were very close to completion. We done the final signing / handover on the 3rd and got our keys on that date.

I've discovered the lender (bank we have the mortgage with) tried to take our first mortgage payment on the 1st May, a full months amount (note the date of our payments is set as the 1st of each month). We believed that this should be arrears; in other words that we should only be paying from 24/04 - 01/05. However it seems they are expecting us to pay in advance. But that doesn't seem to make sense either as then they aren't receiving any payment for 24/04 - 01/05?

Needless to say we hadn't enough money in our account as we weren't expecting it. And now we fear that this will be a permanent black mark on us. I rang the lender and arrears will be in touch in "48 hrs".

Does anyone know is it arrears or advance? Or is it lender dependant? Either way shouldn't we have been notified by someone (the bank or our solicitor) when / how much our first payment is?

Thanx in advance!

F.
 
That sounds very odd.

My first mortgage payment was very small as it only related to the period between the drawdown and the first payment date.

What bank are you with?
Do you have your mortgage offer? If so, what does it say about payments?
 
Nige said:
That sounds very odd.

My first mortgage payment was very small as it only related to the period between the drawdown and the first payment date.

What bank are you with?
Do you have your mortgage offer? If so, what does it say about payments?
Click to expand...

Hi Nige,

Thanx for replying.

We are with Ulster Bank. We've had a few issues with them in the small period we've dealt so far, the most bizarre of which has been 3 or 4 address change requests that haven't been done - for the property we are actually getting a mortgage from them for!!!!

I haven't looked at the mortgage offer yet as I'm in work and only found out about this today. It just surprised me to be honest.

F.
 
A friend of mine, who wouldn't be the best at keeping track of his income and expenditure, got his mortgage with Ulster Bank. For the first few months he was pleasantly surprised at how well he was managing the mortgage and the new home expenses. It turned out that UB had forgotten to take the mortgage payments!
 
Nige said:
A friend of mine, who wouldn't be the best at keeping track of his income and expenditure, got his mortgage with Ulster Bank. For the first few months he was pleasantly surprised at how well he was managing the mortgage and the new home expenses. It turned out that UB had forgotten to take the mortgage payments!
Click to expand...

lol. Believe me I'm not surprised.

When we first applied for the mortgage, we nearly missed the 3 week final deposit payment deadline (which would have meant we wouldn't have got our appliances for "free"), as UB "misplaced" our submitted documentation.

With regards address, lets say my address is:

5 Lovely Grove,
New Nice Development,
Happy Town,
Dublin.

UB have it as, after many attempts to change it:

5 New Nice Development,
Dublin.

Unbeliveable!

Hence this thread. It doesn't seem right to me.

F.
 
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