The impact assessment, or cost-benefit analysis suggests lenders and
intermediaries will face estimated costs of EUR 25m and EUR 13-25m respectively.
However, the EU notes the “larger benefits to society mean that there would be a net positive impact.”
The EC also concluded mortgage advice has a “strong positive impact” on consumers and society as whole. The positive financial value of mortgage advice to the EU was priced at EUR 40-56m in an impact assessment, calculated on factors including consumer understanding, awareness and the choice of suitable products plus the savings made after the cost of debt and mortgage defaults.
The paper also suggests there will be some “modest benefits to creditors and credit intermediaries in the form of increased opportunities for economies of scale and scope both domestically and cross-border.”
