FIN.

Category - Regulated Mortgages

FCA updates complaints data

The FCA has published updated complaints data based on returns from then nearly 300 firms reporting at least 500 complaints within 6 months or 1000 within a year. Key findings from the 2023 H2 data include: Complaints...

FCA publishes Mortgage Charter uptake data

In June 2023, the FCA introduced new rules to support the Government’s Mortgage Charter’s commitments, including providing for firms to allow customers to make reduced capital payments for up to 6 months, or...

Court decides on investment property loans

The Court of Appeal has found in favour of an unregulated lender, confirming that agreements it entered into with individuals were investment property loans which were exempt from the RAO definition of “regulated...

CMA launches Home Credit Market Order review

CMA has formally launched a consultation on part of the Home Credit Market Investigation Order 2007. The review relates to the operation, information and management of a cash loan price comparison website. The website...

FCA updates on interest-only mortgage work

FCA is working with an Industry Working Group of 12 mortgage lenders and administrators on a review of FCA’s current guidance on interest-only mortgages. There were under 1 million interest-only and part-and-part...

FCA confirms rule updates

FCA’s latest Handbook Notice confirms rule changes its Board agreed in December, and the new motor finance complaints rules, as well as two changes agreed on 25 January. The two latest changes: update SUP 12.4...

BSA hopeful of update to 1986 Act

The Building Societies Association welcomed the upcoming 2nd reading of the Building Societies Act 1986 (Amendment) Bill which will take place on 19 January.  The Bill aims to put building societies on a level playing...

FCA updates complaints data

FCA has published updated complaints data based on returns from firms. Snapshots from the 2023 H1 data include: a slight increase in complaints from the previous 6 months (5%); most significant increases in the...

FCA publishes interest-only mortgage research

FCA has published a research note analysing its data on the population of regulated interest-only mortgages that existed as at 31 December 2022. The analysis found that: Interest-only mortgages currently make up 9% of...

FCA implements Mortgage Charter rules

FCA has published a policy statement setting out changes to the MCOB sourcebook to support the implementation of the Government’s Mortgage Charter. The rule changes take effect immediately from 30 June, and enable...

Treasury publishes mortgage charter

Treasury has published a policy paper on the Mortgage Charter, which sets out commitments from the principal UK mortgage lenders to their residential mortgage borrowers. The new commitments are designed to help...

FCA speaks on green mortgages

David Geale has spoken on FCA’s view of green mortgages.  He said that every part of the housing chain has a role to play, and that lenders are risking missing their decarbonisation targets if they do not evolve...

FSMB: Further Lords amends for debate

Further amendments to the FSM Bill have been published for debate in the Lords Committee. They relate mainly to: FCA powers beyond designated activities, aimed at giving it appropriate powers to take action against...

Consumer Duty events

The FCA has announced it will be hosting a series of live and local events on the Consumer Duty across the UK between February and June 2023. The paid for events are aimed at retail investment and mortgage firms, and...

FCA consults on mortgage support guidance

The FCA is consulting on draft guidance explaining how firms can support their mortgage customers impacted by the cost-of-living crisis, including varying a contract for forbearance purposes. The draft guidance will...

FCA updates on mortgage switching

Following its update earlier this year, the FCA has published a technical note on switching in the mortgage market which includes more in-depth analysis. Key findings include: since the mortgage market study (MMS) (H2...

FCA publishes quarterly consultation

FCA has published its regular quarterly consultation. It proposes changes to: the schemes regime under s272, and consequential changes to COLL, the Glossary, DEPP and EG. The changes specifically relate to what FCA...

FCA updates on mortgage switching

FCA is pleased that the number of borrowers who could save money by switching mortgages is now around 370,000, down from 800,000 in 2016. However, it urges borrowers to consider their mortgages, given the rising costs...

FPC withdraws mortgage affordability test

FPC has confirmed that it will withdraw its Recommendation on mortgage affordability with effect from 1 August. The current test specifies a stress interest rate for lenders when assessing borrowers’ ability to...

FCA publishes lender portfolio letters

FCA has published its most recent porfolio strategy letters for: retail mortgage lenders; non-bank lenders; and building societies. Common themes in the letters are: that the response to the pandemic has shown FCA and...

FCA publishes mortgage prisoner review

FCA has laid its mortgage prisoner review before Parliament. The review sets out data that will help the Government consider whether any practical and proportionate solutions could help these borrowers. FCA’s data...

FCA mortgage guidance to expire in October

In October 2020, the FCA introduced temporary guidance on maturing interest-only and part-and-part mortgages. The guidance allowed borrowers with certain mortgages due to mature between 20 March 2020 and 31 October 2021...

FCA publishes individual ban notice

FCA has published a decision notice noting its decision to ban Markos Markou, director and CEO of a mortgage broker, and to fine him £25,000.  FCA considers Mr Markou not fit and proper to perform his senior management...

FCA outlines mortgage prisoners review

The FCA has published the terms of reference setting out the steps it will take in its mortgage prisoners review. Data review: the FCA will review and update its data to consider the demographic and loan characteristics...

Lender’s duties limited in asset disposal

In a helpful decision for Banks and lenders, the Court of Appeal decision in Morley (trading as Morley Estates) v Royal Bank of Scotland plc [2021] EWCA Civ 338 confirmed the limited extent of the duties a lender owes...

FCA publish latest coronavirus updates

The FCA has today published an update on mortgages, consumer credit, banking and payments during coronavirus. The main points can be summarised as follows: repossessions under mortgages cannot be undertaken without...

Covid-19 support update: mortgages

The FCA yesterday announced updated guidance for  mortgage customer facing financial difficulties as a result of Covid-19.  Under the extension, eligible customers will have until 31 March 2021 to apply for an initial...

FCA confirms new rules

FCA has issued a Handbook Notice summarising rule changes finalised over recent months.  Key among them are: the new section on COBS (22.6) to ban derivatives and ETNs that reference certain cryptoassets to be marketed...

Mortgage Market Disruptions

The FCA today published Occasional Paper No. 57 on mortgage market disruptions.  The paper uses data to document the trends associated with COVID-19 and compares them to the financial crisis of 2007-09. The summary...

FCA confirms new mortgages guidance

FCA has finalised its additional guidance to firms in the mortgage markets, setting out how they should provide tailored support to borrowers who have had payment deferrals but continue to struggle, and to those whose...

UK Finance backs FCA mortgage plans

UK Finance is supportive of FCA’s plans for additional guidance to firms on mortgages and COVID-19. It says the industry has always said it is better fora  customer who can afford payments to continue to make...

COVID 19: Mortgage Consultation

The FCA has published its supplementary guidance note which sets out its expectations of firms dealing with mortgage customers who: are unable to resume payments after 2 payment deferrals; have benefitted from an...

FCA Update on Mortgage Prisoners

The FCA has updated their webpage relating to the implementation group on changes to deliver switching options for mortgage prisoners. The update includes details of a meeting held on 1st May 2020 which confirmed that...

FCA updates mortgages Covid-19 page

FCA has updated its website on its finalised guidance for firms on mortgages and Covid-19. The updates are minor, making a few clarifications only, mainly to confirm that firms that could not provide personalised...

UK Finance reports payment holiday figures

UK Finance statistics show that, as of 21 May, their members report that: 877,800 customer accounts had been given a payment freeze on their credit cards, an increase of 25% from the start of the month; nearly 680,000...

Regulator Covid-19 update 22 May

After a relatively quiet week, on 22 May: FCA announced further support for customers struggling to pay mortgages due to Covid-19. It is consulting on what options firms will need to provide to customers reaching the...

Regulator Covid-19 update 1 May

On 1 May, FCA: announced proposals for a Court declaration on business interruption claims proposed guidance for insurers on assessing whether products still offer value and appropriate action to take where they do not...

FCA updates mortgage firm Covid-19 guidance

FCA had provided additional guidance to mortgage firms on payment holidays relating to Covid-19. We reported in this post on the original guidance. FCA has previously required firms to offer payment holidays if they...

FCA publishes mortgage switching research

FCA has released its latest report on mortgage switching, from which it concludes there is a case for intervening to help customers who do not switch. It has found that the reasons people have for not switching...

Up next from FCA

FCA plans a number of important publications during Q1 2020 including: consultation on exit fees in investment platforms and comparable firms potential policy statement on general insurance value reporting measures and...

Up next from FCA

FCA’s latest Policy Development Update indicates several key publications scheduled for Q1 2020, including: potential policy statement on general insurance value measures reporting; consultation or discussion...

Complaints Commissioner publishes responses

The Complaints Commissioner has: ordered FCA to pay compensation (but of a very small amount – adding £250 to the £50 already offered by FCA) to a complainant whose application for authorisation ran out of time...

Mortgages (Responsible Lending) Instrument 2019

Following consultation CP19/14, the FCA published the Mortgages (Responsible Lending) Instrument (together with feedback to the consultation) 28 October 2019. The final rules (which come into force immediately) set out...

Up next from FCA

FCA’s latest Policy Development Update heralds the following publications before the end of the year: consultation on investment platforms market study remedies; policy statement on OPBAS fees; consultation on...

Changes to Mortgage Reporting Requirements

The FCA published policy statement PS19/23 (PRA – PS22/19) on 30 September 2019. The rules set out the new reporting requirements for regulated mortgage lenders and home finance administrators. The rule changes...

CMA updates on loyalty penalty work

CMA has updated on its work on the loyalty penalty. It says key decisions are due shortly and that two enforcement cases are underway. It says it expects regulators to take strong action where they find problems and...

FCA extends temporary permissions window

In light of the current short extension to Brexit, FCA has decided to extend the notification window for EEA firms to apply for temporary permissions. The window was due to close on 28 March, but will now close on 11...

FCA Update on Digital Regulatory Reporting

The FCA has updated its webpage on digital regulatory reporting (DRR) by publishing – a video which explains the concept of DRR and outlines the work carried out by the DRR pilot group; a report which sets out an...

FCA confirms FOS increase

FCA has issued a policy statement confirming the increase in the FOS award limit.  From 1 April, the limit that FOS can award against firms will be £350,000. This amount will apply in relation to complaints about...

FCA makes Directory rules

FCA has made its final rules on its “Directory“. The new public register will enable searches on all directors and senior managers, certification staff and other individuals who require qualifications to...