Lenders have until 28 February to decide how they will apply mortgage exit administration fees and to justify any increases to such fees, under a new statement of best practice from the Financial Services Authority.
The statement follows concerns mortgage exit administration fees (MEAFs) had been increased unfairly, with the result consumers were being charged higher exit fees than they had originally expected to pay. For current customers, the FSA says lenders have to decide by 28 February which of the following outcomes they will adopt: Charge no MEAF; Charge the original MEAF; Charge a revised MEAF which is equal to, lower than or higher than the original MAEF; or Charge the current increased MEAF. The regulator says it is unlikely to investigate further a lender which adopts one of th...
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