Mortgage complaints have increased by 55% compared with the same period in 2013, data from the Financial Ombudsman Service has revealed.
More than half of the complaints were still PPI related. Other favorites included disputes over valuations, complaints about the advice to take out the wrong mortgage product and upfront fees being charged where no mortgage offer is forthcoming.
Then there are the complainants who are struggling to meet their mortgage repayments, whose complaints are varied, but generally focus on “unfair” increasing payments.
An area which has contributed to the increase is complaints about “mortgage administration.”
As we don’t sell PPI, do valuations, or charge upfront fees, we are pretty much in the clear on the complaints front, but I can confirm that our usually slick administration service has been tested to the limits following the new mortgage regulations this year. This has left clients – if not quite ready to go into battle with the Ombudsmen, somewhat agitated.
I telephoned a client who commented on our customer questionnaire, that the “whole process took twice as long as it should have, as the lender kept on asking ridiculous questions.” To be fair the lender asked all the usual questions when the application arrived, but they were followed up by 6 questions (over a 2 week period) regarding direct debit payments to “The Dogs Trust,” “British Gas Homecare” and “Sew magazine Subscription.” What were they for? were they compulsory?, can they be cancelled without a charge?
I checked the notes, and clearly the underwriter had left no stone unturned, before he finally issued the offer of £120,000, to a client earning over £75,000! To be fair, lenders have started to ease up on the new “affordability checks.” But for the record: The Dogs Trust, is The Dogs Trust, British Gas Homecare, come out for plumbing / boiler / drains and electric problems and Sew magazine subscription is a subscription to Sew magazine!
If you need any mortgage advice please get in touch with one of our advisers.
Recent posts
There was a 32% increase last year in 100% loan-to-value (LTV) mortgages which are mortgages that require zero deposit. According to a recent report by chartered accountants and business advisers, Lubbock Fine, the reason behind this is buyers simply struggling to save enough for a deposit.
Average savings by age in the UK
Yesterday
Many people are quite private when it comes to what is in their bank account. In this short blog, we look into what Brits have saved by age group.
Research from buy-to-let lender, Landbay, shows that UK landlords are looking at raising rents ahead of the Renters' Rights Bill which is due to come into force this year.
Data shows landlords could miss out on green mortgages due to expired energy performance certificates.
Buying a house is a big deal, and where you are planning to buy will make a difference financially. In this short blog, we look at the most affordable and most expensive areas and how much you need to be earning to buy in there.
Pros and Cons of Equity Release
20 May 2025
Equity release is a type of mortgage that allows homeowners 55 and over to access money from their property's equity without having to leave their home. This is done by securing a loan against the house which is usually repaid by selling the property when the borrower passes away or has to move into long-term care.
Your House Viewing Checklist
19 May 2025
It’s important to ask questions about the property you are interested in before taking that step to make an offer. A little probing can make all the difference between buying your dream house or something that requires a lot of work.
Half of over 60s predicted to benefit from accessing housing wealth through Equity Release
16 May 2025
There are millions of homeowners over the age of 60 who are likely to release money from their homes to pay for their lifestyle during retirement giving those who are 'asset rich but cash poor' a way to live out their retirement the way they wish.
More information
Trusted by
