Woolwich to restrict interest-only to ‘affluent’ customers
Brokers might wish to make immediate contact with their customers on interest-only or part and part mortgages and not leave this issue until their mortgage comes up for review.
Those brokers who have advocated large numbers of their clients to opt for interest only may find they are unable to arrange remortgages in the coming years unless there is genuine repayment strategy.
The challenge will then be demonstrating the advice given by the broker to the borrower showed they were fully appraised of the risks.
Arron Bardoe
06 Nov 2012 | 13:59
FSA bans jailed adviser after £150k fraud
How can it take the FSA 10 months to ban someone who was jailed all that time ago for fraud.
Are we to assume that he could have still carried on as a financial adviser with a return address of HMP wherever. It just beggars belief how inefficient these people are.
Julie Taylor
06 Nov 2012 | 16:12
Woolwich to restrict interest-only to ‘affluent’ customers
So it still remains that you need 150K equity & max LTV of 66%. So someone with a 300K mortgage on a property value 450K is okay on interest-only, but someone with a 290K mortgage on a £2million property is not okay, even though the latter is clearly more affluent.
Might as well all pack up and go home.
Glenn Coleman
07 Nov 2012 | 10:51
Mortgage misselling claims will “start slowly but snowball”
Bit of irony here ‘I am claiming because nobody suggested I should have a repayment vehicle such as an endowment’! My understanding is that most mortgages have been ‘sold’ by non-RIs; that is, advisers unable to advise on investments due to their lack of qualifications and/or because that are not allowed by FSA rules.
Since all normal repayment vehicles would, by their very nature be investment products, I fail to see how an adviser could comment, let alone advise, on such plans.
Ian
07 Nov 2012 | 19:39
Industry must not “fritter away” FLS cash in remo rate war – RBS
Good to hear those comments coming from one of the major beneficiaries of the scheme. I would like to have seen targets put in place that a certain % of the money being taken by the lenders be set aside for new borrowing and first time buyers.
Dave R
09 Nov 2012 | 10:15
Thank you for your comments this week.
