Craig Lowther, MD, claims management company MoneyBoomerang, said: “I expect the number of people pursuing mortgage mis-selling claims to start slowly and then to snowball. The total value of claims could be close to that for PPI.
Clearly a case will have to stand up but we believe we will have the material to ensure this happens.”
Writing exclusively for Mortgage Solutions, Lowther said research suggests mis-selling has been taking place in the mortgage market, both by branch and independent advisers.
“We believe that a vast number of people who took out interest-only loans were not subject to adequate checks on the separate repayment vehicle that they should have had in place, and in some cases were not aware of the need for such a vehicle.
Many will now be facing massive debts come the end of their mortgage term,” he added.
This week, Which? figures suggest the PPI scandal at £12.3bn and rising has eclipsed the pension mis-sales scandal at £11.8bn and mortgage endowments at £2.7bn.
For the full story, see this week’s Marketwatch
