Complaint re unfair terms in mortgage contract

Discussion in 'The Financial Services Ombudsman' started by bluestilton, Jul 27, 2017.

  1. bluestilton

    bluestilton Registered User

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    Good evening
    Can anyone advise if it is within remit of FSO to decide whether a term in a mortgage contract is deemed to be unfair?
     
  2. Brendan Burgess

    Brendan Burgess Founder

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    The remit of the FSO is to decide on complaints based on the merits of the case and not the strict legal interpretation.

    So I think it might be worth making the complaint. They will tell you fairly fast if it's within their remit or not.

    They have a new policy now of trying to resolve complaints without worrying too much whether they are in time, or strictly covered. Of course the lender could object to deal with the FSO if they felt it were outside their remit.

    Brendan
     
  3. bluestilton

    bluestilton Registered User

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    14
    Thank you Brendan,
    I have complaint in with FSO for the last number of months which has progressed to investigation. Latest info I have is that Bank are questioning jurisdiction of FSO to deal with case. Complaint was ongoing with Bank for almost 2 years. If FSO decide they cannot deal with complaint what are my options- Am I right in thinking that I would have to bring it through courts here before I could go to EU? Complaint relates to wording of contract re setting of interest rates and compliance with EU directive on unfair terms in consumer contracts and other relevant consumer codes.
     
  4. Brendan Burgess

    Brendan Burgess Founder

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    32,070
    This would be above my pay grade.

    I would imagine that if you are questioning a fundamental term of the contract, then the bank would appeal any decision by the FSO to the High Court. That wouldn't unduly concern you, as it would be a case of the bank vs. the FSO.

    I don't think you have any option here except to await the decision of the FSO.

    I don't see why you would want to go directly to the European Court of Justice? Surely it would make sense for our High Court here to decide if the clause is legal or not. You could probably appeal their decision.

    Brendan