"Mortgage Prisoners" are in the main, those individuals who have been maintaining their payments but have been told they cannot switch/remortgage even though the new rate is cheaper and it is clear the customers can afford the new repayment.
There is a European Union (EU) Rule called the Mortgage Credit Directive. This Directive states that anyone applying for a mortgage (even if applying for a cheaper one) are subject to strict affordability checks, this includes income and outgoings.
The hypocritical part of this is that the expenditure obviously confirms the mortgage outgoing but the customer is then informed they cannot afford the cheaper / lower payment, there is no logic to this.
Andrew Baily, the Chief Executive of the Financial Conduct Authority has stated the regulator wants to remove the barriers that stop Mortgage Prisoners moving to cheaper deal.
The European Union (EU) state the United Kingdom (UK) are not interpreting this directive correctly.
Whilst these talks are continuing Active Credit Reclaim wish to investigate another element in relation to your mortgage.
Was the mortgage advice you received "negligent", in other words could the adviser have recommended an alternative lender to the one you are currently saddled with.
To put it simply, did your financial adviser give you "best advice" when recommending your mortgage provider? Were they the most suitable for your circumstances and was the advice given in line and adhered to
MCOB (Mortgage Conduct of Business Rules).
In addition to negligent advice, your lender may have "breached" the terms & conditions of the mortgage and charge you interest in excess of what the T&Cs stated. On the face of it, when receiving your statements all may seem in order, however, the lender could have unknowingly overcharged you interest on your account and these monies are rightfully yours.
A free mortgage audit can be carried out to identify a potential mortgage mis-sale (negligence) and mortgage interest overcharging (breach of contract).
There are time limits to bring a professional negligence/breach of contract claim, leaving your enquiry too long may see you miss out on your rightful financial redress.