However, the government-appointed complaint resolution service upheld the most complaints about payday loans, with 64% of reviews going in favour of the consumer so far this year against 40% for PPI.
Other financial services products attracting the most criticism validated by the Ombudsman included installment loans – unsecured loans with an APR of 100% or more – with 52% upheld, Self Invested Personal Pensions with 50% upheld, investment trusts at 49% and home emergency cover at 45%.
The service received 2,998 mortgage-related complaints from July to September with 505 making it to the Ombudsman with a 25% uphold rate.
FCA complaints data
Yesterday the Financial Conduct Authority drilled more deeply into its own data and confirmed mortgage brands Paragon, the now defunct Bradford and Bingley buy-to-let lender Mortgage Express and bridging lender Blemain received the most consumer complaints in H1 this year.
All three lenders received more than 40 complaints per 1,000 outstanding balances.
Paragon Finance led the way with 43.2, followed by Mortgage Express (part of the UKAR Group) with 41.4 and then Blemain Finance (part of Together Money) with 41.2 complaints per 1,000 balances.
Only three brokers had enough data to be included in the FCA data. Connells (part of the Skipton Group) stood out, recording 17.4 per 1,000 sales.
St James’s Place Wealth Management and Sesame received 2.2 and 2 complaints respectively, per 1,000 sales.
Yesterday, Christopher Woolard, executive director of strategy and competition, said: “We now require firms to report all complaints which gives us a fuller picture of where the industry might not be meeting customer needs.”
He added: “But even allowing for the change in reporting rules, and some progress made, the numbers are still significant. Firms need to do all they can to reduce complaints and ensure that they are working in the best interests of consumers.”
