Are YOU getting a refund? 750,000 mortgage customers set for compensation

Are YOU getting a refund? 750,000 mortgage customers set for compensation

Are YOU getting a refund? 750,000 mortgage customers set for compensation

GETTYThousands of customers could get compensationMore than 750,000 people have had arrears lumped in with their monthly mortgage payments, found the industry watchdog. It means customers can take longer to pay off debts or incur inappropriate fees, said the Financial Conduct Authority . At the same time, firms continued to pursue customers for arrears, demanding they were paid immediately.The practice – known as automatic capitalisation – is not transparent and can harm bill payers, added the watchdog. For example, customers could have been hit with high credit costs such as needing to service a payday loan or a credit card debt because of the situation they were put in by their mortgage lender.Mortgage arrears should only be added to repayments if the lender has considered the individual circumstances of a customer and has their agreement, according to the FCA.Lenders have now been ordered to identify customers who have been affected by the policy.The FCA is now consulting on new guidance on the treatment of customers with mortgage…

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>