FSA gives warning on mortgage exit fees

Following its review into mortgage exit fees, which has been taking place since last Autumn, the regulator has given warning a number of mortgage contracts it has seen were: “not as clear as they could be in explaining which costs would be charged to the consumer or at what time or event in the life of the contract”. And that it was: “not clear that increases in mortgage exit administration fees were proportionate to any increases in associated mortgage exit costs incurred.” While lenders are allowed to increase the mortgage exit fee, without the explicit agreement of their customers thro...