Posted by StefanN on July 23, 2007, 10:30 am, in reply to "Re: some maths on service charges"

Some remarks on this. Reserve funds: I thought that they would be build up over the time and melt down in case of unexpected maintenance. Then it would be build up again. It should be a safe buffer and ensure that no extra service charges occure. If it does occure then the reserve funds were not sized correctly. Service Charge increase of 76%: Again I don't want to go into the core reasons of this. I just think that this is unacceptable. If I would report to my boss that unexpectedly I have an increase of 76% in running costs I would be fired. If a company aproaches the bank and asks for 76% more money the y would be bancrupt and if a football team would play 76% worse from one season to the other the coach would be fired. Even Chris Walker stated in one of his posts that stable service charges were one of the key objectives for him as director. You see what I mean? These astronomic service charges are treated as a minor hickup and noone is able to clearly explain the case nor does anybody show some evidence that this wouldn't happen again next january.

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