You are here: Home - Mortgages - First Time Buyer - News -

City watchdog launches probe into mortgage market competition

Written by:
The Financial Conduct Authority (FCA) has launched an investigation into competition in the mortgage market.

The study will probe whether tools used by customers throughout the mortgage journey – including advice – help consumers to make effective decisions and if commercial arrangements between lenders, brokers and other parties are devised at the detriment of consumers.

The role of technology in improving any issues identified in the report will also be reviewed, including greater use of digital channels to deliver information or advice.

Christopher Woolard, executive director of strategy and competition at the FCA, said: “As a mortgage is likely to be the biggest financial commitment most people make in their lifetime, we’re keen to ensure that competition in the mortgage sector is healthy and working to the benefit of consumers.”

While the FCA’s work will focus on first charge residential mortgages, the regulator said it will take into consideration any insights regarding commercial, second charge or buy-to-let mortgages. Transactions explicitly in the scope of the review will include: mortgages for house purchase, remortgaging, further advances, product transfer and lifetime mortgages.

In its review of the mortgage supply chain, the FCA will investigate brokers, lenders, borrowers, price comparison websites and mortgage sourcing systems. It will also look at estate agents, developers, third party providers and providers of ancillary services if they affect competition in the relevant mortgage markets.

An interim report is expected to be published by the regulator in summer 2017, which will set out its analysis and preliminary conclusions.

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

The savings accounts paying the most interest

If one of your jobs this month is to get your finances in order, moving your savings to a higher paying deal i...

Coronavirus and your finances: what help can you get?

News and updates on everything to do with coronavirus and your personal finances.

Everything you need to know about being furloughed

If you’ve been ‘furloughed’ by your company, here’s what it means…

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week

  • What are some things to be aware of in choosing property to fund your retirement? Find out from our pension special…
  • RT @Defaqto: With many nervous about taking an overseas trip, Brits are booking up holidays closer to home. But should you buy travel insur…
  • RT @Defaqto: With many nervous about taking an overseas trip, Brits are booking up holidays closer to home. But should you buy travel insur…

Read previous post:
fund picks
Ditch the high street for top savings rates

Struggling savers should not dismiss challenger and foreign banks if they want to get the best returns on their cash, analysis...