Service Charge Percentage Wrong

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  • Gordon999
    replied
    I suggest you send a letter requesting a copy of the schedule showing what each flat pays for "apartment charge" and "internal charge".

    If your site has one block plus houses , the flats should l pay the "block charge" + "estate charge".

    For your table in post #37, the apartment charge seems to be paid by 96 units but the internal charges by 91 units.

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  • gidoc
    replied
    Originally posted by Gordon999 View Post

    Your lease requires you to pay "estate charge" + "block charge"

    But your post #37 shows the table of costs for "estate" , "apartment" and "internal area".

    You should write a letter to your management company to ask for clarification on how the "block charge" is calculated for your flat ?
    I have asked them to explain, an earlier reply just said its been broken into two parts- apartment and internal; I have asked for why 'internal charges'.

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  • Gordon999
    replied
    Originally posted by gidoc View Post
    Here is a breakdown of service charges:
    the internal area cost- is not being paid by equivalent apartments(very few)- which do not have internal areas.
    thanks
    Your lease requires you to pay "estate charge" + "block charge"

    But your post #37 shows the table of costs for "estate" , "apartment" and "internal area".

    You should write a letter to your management company to ask for clarification on how the "block charge" is calculated for your flat ?

    Leave a comment:


  • AndrewDod
    replied
    Originally posted by gidoc View Post

    I understand it but that this still doesnt explain why the Company charges one flat and not another.
    Because it is in a different block with a mix of different leases in that block

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  • gidoc
    replied
    Originally posted by AndrewDod View Post

    We have already explained that this notion of yours is simply not correct. That is not the way leases work. You are misleading yourself. Not sure how many times we need to say it. The fact that a flat is on the ground for (for example) has NOTHING AT ALL to do with their liability to pay for a broken lift, or a roof, or a balcony....
    I understand it but that this still doesnt explain why the Company charges one flat and not another.

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  • AndrewDod
    replied
    Originally posted by gidoc View Post

    No I am not liable for the third category as it does not exist ( no internal communal areas) in the context of my flat.
    We have already explained that this notion of yours is simply not correct. That is not the way leases work. You are misleading yourself. Not sure how many times we need to say it. The fact that a flat is on the ground for (for example) has NOTHING AT ALL to do with their liability to pay for a broken lift, or a roof, or a balcony....

    Leave a comment:


  • gidoc
    replied
    Originally posted by AndrewDod View Post
    The OP must be wrong because, put simply, the proportion of the total is about 1% (which is about where it is supposed to be). The third category is likely to be a subcategory of the other two) for which, as you suggest, OP is liable. It was probably necessary to create subcategories because of the way other leases work.
    No I am not liable for the third category as it does not exist ( no internal communal areas) in the context of my flat.

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  • gidoc
    replied
    Originally posted by leaseholder64 View Post

    That's the conclusion I came to. I think Apartment and internal costs are sub-categories of block costs.
    I agree they are sub categories , however as my flat doesn't use communal areas, I should not be paying the internal costs( its not in pennies). A similar flat doesn't pay it either, which is the proof I needed; hence the company will have to reconcile my charges in retrospect.

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  • leaseholder64
    replied
    Originally posted by AndrewDod View Post
    The OP must be wrong because, put simply, the proportion of the total is about 1% (which is about where it is supposed to be). The third category is likely to be a subcategory of the other two) for which, as you suggest, OP is liable. It was probably necessary to create subcategories because of the way other leases work.
    That's the conclusion I came to. I think Apartment and internal costs are sub-categories of block costs.

    Leave a comment:


  • AndrewDod
    replied
    The OP must be wrong because, put simply, the proportion of the total is about 1% (which is about where it is supposed to be). The third category is likely to be a subcategory of the other two) for which, as you suggest, OP is liable. It was probably necessary to create subcategories because of the way other leases work.

    Leave a comment:


  • leaseholder64
    replied
    It wasn't clear from his wording of what the percentages were, which is why I asked for real numbers. The amount of stake here isn't pennies, but £412.59 in the year for which the example was provided. The OP is saying that the whole of the last section in the bill doesn't apply to them.

    I'm still not convinced that this whole thing is not the result of failing to explain an attempt to handle inconsistent leases properly, given that I see nothing in the wording of the lease which means the OP is not liable for the items in the last category.

    Leave a comment:


  • AndrewDod
    replied
    Originally posted by leaseholder64 View Post
    so I see no way you could be charged 3% of total, however you interpret your lease.
    But he is not being charged 3% of the total.

    £1969.93/£188,912 = 1.042%

    Which is about correct albeit the exact apportioning into the 0.99% band vs 1.1% band is a little hard to follow.

    about 100 flats and he is paying about 100th

    There may be something off here but it looks like a matter of pennies here not tens of thousands.

    Leave a comment:


  • gidoc
    replied
    Update: The Leasehold Advisory Service said to give the Company another 2 wks to respond, if they do not engage to resolve/recalculate service charges- I should follow the formal complaint process via Ombudsman and or go via First tier property tribunal.

    Leave a comment:


  • gidoc
    replied
    Thanks , will update soon

    Leave a comment:


  • leaseholder64
    replied
    Certainly go to lease advice first, as it is free. For the rest, I'm not sure if it is better in terms of going to the FTT first, or going to the Crown Court and having them redirect to FTT. It will depend on exactly how the FTT's fees are handled if you win. Obviously, if you lose, you risk all the fees. and the other side's court costs.

    Leave a comment:

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