Is the FOS Fit For Purpose?Make Text Bigger
It is now proven that the Financial Ombudsman Service monumentally screwed up when they found in favour of West Bromwich Mortgage Company being in the right to add a premium to their tracker mortgage margins and to issue veiled threats to call in mortgages with just 30 days notice.
Were they afraid of creating another banking crisis, like the one when Northern Rock collapsed, or were they just incompetent and/or biased?
I have no doubt that several borrowers who were affected by this will be calling for resignations but I’m not going to do that. Instead, I am going to give the FOS an opportunity to vindicate themselves.
I am calling upon the FOS to re-open the complaint files regarding complaints about the Bank of Ireland and their unilateral decision to apply premiums to tracker rates mortgages for both homeowners and buy-to-let landlords. Around 13,000 borrowers were affected.
I am also calling upon the FOS to re-open the complaint files regarding the Skiptin Building Society / Amber Homeloans complaints in respect of their unilateral decision to disregard contractual obligations in respect of rate cap of bank base rate plus 3% on their standard variable rate mortgages affecting over 100,000 borrowers. This case goes back to 2010 and was reported on but in National media.
Neither of these cases are far removed from the one we won at the Court of Appeal against West Bromwich Mortgage Company.
It is all very well for mortgage lenders to say they need to balance their books and cater for both borrowers and savers but that gives them no right just to change contracts in their favour. In a mortgage interest rate contract says it will track the Bank of England base then that is exactly what it should do, no if’s, but’s or maybe’s. I don’t think the FOS paid much attention at all to what the contracts said.
Can you imagine savers locking their money into a 5 year fixed interest rate bond, only to be told subsequently they are not going to get the agreed rate because the lender wants to reduce mortgage rates? It’s no different, a contract is a contract!
Let’s see what the FOS do next, what do you think it will be?
I suspect we will need to take this matter further and that’s why we have launched a new fund-raiser.
We have honoured those who helped us to fight the campaign against the West Brom by keeping the name given to them in Court, the Property118 Action Group….. details
Benefits of Backing Property118 Action Group
Private housing providers (buy-to-let landlords) often lack the experience and finances to defend their rights. Membership of Property118 Action Group offers them a unique and powerful umbrella at a very reasonable price.
Founder Member Benefits
- If you pledge £600 you will automatically become a Founder Member.
- Founder Members will never be required to pay any more money in terms of monthly subscriptions or to contribute to any action we undertake to for the benefit of members.
- When we have raised enough money we plan to take further action against the Bank of Ireland, Skipton Building Society and Manchester Building Society in respect of changes they made to their mortgage terms which we beleive are unlawful.
- You will be able to use the Property118 Action Group “Founder Member” badge on stationety, websites etc.
- There will never be more than 5,000 Founder Members so you will be part of an exclusive club.
Business Sponsorship £1,000
All the benefits of Founder Member status plus:-
- PR benefits, please see this link
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Business Advertising £5,000
All the benefits of Business Membership plus:-
- An opportunity to post one News article on Property118.com every month, to include a contact form for the purpose of attracting members to enquire about products and services offered by your business.
- Lifetime upgrade to a Business Member profile in Property118.com to include a business bio, the contact form mentioned above and the ability to add further images to your profile page.
We are hoping to be able to offer shares in Property118 Action Group in due course.
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