Ombudsman comments on attitude to tracker mortgages

Brendan Burgess

Founder
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38,396
From page 21 of his biannual review

Tracker Mortgage Findings

Mortgage complaints account for 37% of Banking Findings issued between the 1st January 2010 and the 30th June 2010. One type of Mortgage complaint of note is complaints regarding Tracker Mortgages.

There are currently 40 such complaints in the office at this moment. The Office is engaged with the Financial Regulator regarding this issue.

The complaints, in general, relate to the changing from a Tracker Mortgage rate to another rate be it either a fixed or variable rate and the information provided to the Complainant at that time regarding the ability to change back to a tracker rate.

The Bureau, for these complaints, examines the information given to the consumer by the Provider regarding the change of rate and its implications on their mortgage and whether it was sufficient for the consumer to make an informed choice based on the information garnered.

The cases frequently require an examination of the clarity contained in both the mortgage agreement and the Mortgage Form of Authorisation concerning the rate which the Complainant’s fixed rate would revert to upon expiry.
 

Brendan Burgess

Founder
Messages
38,396
It is interesting that they have referred the issue to the Financial Regulator.

I am convinced that there have been some systematic problems which the banks are only resolving if the customers complain.

NinaK managed to resolve it herself in this post.
 

kaza

Frequent Poster
Messages
175
Sorry to revive this post but I was wondering if anyone had any information on whether the Financial Regulator did investigage this issue?
 
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