Advisers round on self-cert ban proposal

Scott Sinclair

Advisers today branded proposals to effectively ban self-certification mortgages "inappropriate", saying they will leave the self-employed unable to access the mortgage market.

In its Mortgage Market Review discussion paper, issued today, the regulator says lenders will require verification of income for all types of mortgage applications. Advisers say the proposal has been on the FSA's radar for some time, but argue it will hit a significant group of would-be-borrowers. Brian Murphy, head of lending at the Mortgage Advice Bureau, says: "The proposal is unlikely to have a significant impact on the market, as self-cert products have mostly disappeared already. "However, the removal of the self-cert altogether will mean that the self employed, will struggle...

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