Consumer watchdog Which? has responded to the recently-outlined proposals by the Financial Services Authority (FSA) indicating that those in mortgage arrears will be treated more equitably by industry practitioners.
Chief executive with the company Peter Vicary-Smith welcomed the move, saying that the firm is “pleased” with the FSA’s decision to “at last take action”.
“It’s shameful that some lenders have been hitting their struggling customers with excessive arrears charges,” he continued.
However, he did not feel that the demands were sufficient and asked the FSA to name the firms it is involved in disputes with in order to provide judges hearing repossession cases with all the necessary facts.
“The FSA must do more to protect consumers who face the threat of losing their home,” Mr Vicary-Smith went on to remark.
Commenting on the FSA’s plans, director of the mortgage sector with the organisation Lesley Titcomb noted that creditors must be aware of their obligations when clients fall into further debt and acknowledge that this is not a chance to drive revenue.
By Sarah Adie