View more on these topics

MPs told of KFI concerns

At a discussion at the House of Commons last week sponsored by GMAC-RFC and chaired by Labour MP John McFall, the lender&#39s chairman, Stephen Knight, raised the issue and called for action.

Knight says: “I think the FSA has done a fabulous job and agree with about 90% of what it has done but KFIs can be seven pages long and could cause borrowers angst.”

He says the scale of the potential problem is clear when you consider that about 30,000 KFIs are expected be issued daily, and 10,000 applications submitted.

Knight is keen for more work to be done by the FSA and the industry to make the documents shorter and more accessible to borrowers.

At the discussion, Financial Capability: Making informed decisions about mortgages, Nationwide supported Knight&#39s view.

McFall, who is also chairman of the Treasury Select Committee, agreed that a summary box or &#39health warning&#39 would be useful to save clients having to wade through so much paperwork to get to the important points.


GMAC-RFC aims to be top 10 lender

Figures released earlier this month by the Council of Mortgage Lenders revealed that GMAC-RFC is now the UK&#39s 13th largest lender with a 1.8% market share, just behind Bristol & West and Bradford & Bingley. GMAC-RFC head of marketing services Jeff Knight says: “We will reach the top 10 in one or two years. If […]

AMI voices concern over KFIs

The trade body is worried the rules covering the calculation of inducements could be misinterpreted, particularly the definition of what payments are regarded as material and must be disclosed. It states confusion also reigns over the issue of packager payments. Current thinking suggests packagers are out-sourced processors of mortgage cases, working for either a lender […]

Dunfermline more than doubles lending, and doubles in size

Thismeans that it has doubled in size in nine years – from just over £1bnin 1995 to £2bn in 2004. Since the branch network was restructured to provide a closer focus on the customer three years ago, lending has increased from £142m in the first seven months of 2002 to £181m in the same period […]

HIPs will expose shortage of surveyors, says xit2 survey

The prediction of a chronic shortfall is revealed in an xit2 survey of senior figures in the housing market including lenders, intermediaries, estate agents, surveyors and solicitors. Should HIPs be introduced, they will create the requirement for a Home Condition Report on every property being sold. Just 3% thought that there would be enough surveyors […]


News and expert analysis straight to your inbox

Sign up