The Financial Services Authority has announced the second stage of its review of the effectiveness of the mortgage regime will focus on the sub-prime sector, where the risk of consumer detriment may be higher.
As well as reviewing sub-prime and lifetime mortgages, the FSA says it will look at whether consumers are taking out suitable and good value home loans and whether customers are treated fairly over the life of their mortgage, including if they go into arrears. The review will include research to find out more about consumers’ experiences in the sectors of the market being covered, and will be supported by analysis of relevant market data and other FSA thematic work. It will look at the FSA's five "intended consumer outcomes", focusing on areas with a higher risk of consumer detriment. Th...
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