Ive just sold my PPOR and the proceeds paid out a 3 year fixed loan 2 years early. Back in August the back advised that a break fee would apply to change from fixed to variable before settlement. I posted the reply back accepting their $700 fee. Upon settlement i find i'm slugged $2000 for the break fee! The bank advised that they didn't receive my original acceptance and that the new fee is applicable. Ive asked why the fee would have tripled - to which they replied "it varies, its calculated daily".
Given that there was only a month between the two values, so the monthly interest cycle would be about the same; the balance of the loan hadn't changed, and the interest rates hadn't changed; i'm at a loss to know why the fee would change so much. I'm petitioning the bank to have the original quote honoured, but it doesn't look promising.
Given that there was only a month between the two values, so the monthly interest cycle would be about the same; the balance of the loan hadn't changed, and the interest rates hadn't changed; i'm at a loss to know why the fee would change so much. I'm petitioning the bank to have the original quote honoured, but it doesn't look promising.