Mortgage brokers and lenders will find it difficult to defend themselves against a rising tide of mis-selling claims, according to city law firm Reynolds Porter Chamberlain (RPC).
Figures released yesterday by the Financial Ombudsman Service (FOS) show the number of mortgage-related complaints jumped 56% over the last financial year. RPC says firms will find the current downturn in the housing market more problematic from a legal standpoint than in any previous downturn. Jonathan Davies, partner at RPC, says homeowners will often blame their advisers once they begin to struggle financially, and claims the presence of the FOS, rather than the courts, could cause difficulties for firms. “In previous housing market downturns, claims had to be dealt with by the courts...
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