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Abbey application fee policy angers broker

A broker who found his client had been charged 90 after their case was declined has slammed Abbey’s valuation administration fees.

Peter Stokes, a broker for Davidson Deem, says: “I had an online agreement in principle with a client for an Abbey mortgage. After 24 hours the deal was declined but Abbey still collected 90 for the declined application fee.

“This is wrong – someone should not be charged to cover the administration costs of a decline. Abbey is shouting from the rooftops about its riskier products and with these it must expect a higher rate of declines. Hiding the administration charge is not treating customers fairly.”

He adds: “Brokers should be aware of this ‘suck it and see’ policy because if a case is declined their customers need to know they still have to pay a 90 fee with Abbey.”

A spokesman for Abbey says: “Once this client got a decision in principle the ball was already rolling.

“It’s one of those things – an unfortunate situation. We need to cover our costs. It is our policy to recoup some of our administration fees. That is why there is the 90 levy.”


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