CHAPS Charge

[Spice_Weasel]

Hi all

Hope you can help with this. I recently paid a lump sum off my mortgage which was paid by a transfer by the branch staff from my savings acc to my mortgage acc. Having logged onto the tinternet banking service, I can see the transaction has been actioned, but I have also been charged £30 for a CHAPS transfer - a charge that was never mentioned while discussing the mortgage overpayment whilst with the branch staff.

I'd like know whether CHAPS is inter-bank only or whether the charge applies for a transaction that moves money within the same bank (the mortgage co is a subsidiary of the banking group hence I can't see why it would need to go outside the bank's walls). Googling this does not reveal any hits that cover my query exactly.

There are 2 issues here:
1. I have had a fee levied although I was not advised at the time that there would be a fee so I need to question this.
2. Is CHAPS the right method of payment or should this be something that the bank should manage as an 'internal' transaction?

Thanks
S_W

[scotal]

I'm guessing.....

1. The fact that you have paid it form one entity to another does mean a chaps payment had to take place. Even though the entities in questions are part of the same group. Paper trails and all that.
2. It should have been the bank that advised you of the charge, and therefore it might be burried in their T&C's rather than the mortgage lender (even though they are one and the same overall firm), the lender didnt levy the charge the bank did.

[Countdown]

I've been charged for CHAPS payments when paying off a mortgage but that was when money was move3d between different banks. I think you're right, it shouldn't apply for transfers within the same bank. That being the case could you not have done it yourself via the Internet ?

Write to the manager asking for a refund - it normally works.

[Spice_Weasel]

There's a £10K limit on transfers via the internet service plus I deliberately wanted the in-branch mortgage 'specialist' help to work out the maximum lump I could pay off without incurring any early repayment fees.