27
Nov
Treasury proposals 'will help' borrowers
Proposals outlined by the Treasury earlier this week designed to
offer greater protection to borrowers have been welcomed by the
Association of Mortgage Intermediaries (AMI).
Commenting on the proposals, Robert Sinclair, director at the AMI,
said that the latest plans would "bring things into line", allowing
consumers to compare mortgage products and rates more easily.
He explained: "This will help people understand about what the
different kinds of borrowing are. Because the documentation would
then be similar, it will become clear what the charges are to their
property."
All the latest proposals build on the reforming financial markets
paper, which was released earlier this year and set out the
government's analysis of the financial crisis and its causes.
Under these plans, the Financial Services Authority would be made
responsible for the regulation of the second-charge and buy-to-let
mortgage markets.
The Council of Mortgage Lenders has also voiced its support for the
extension of FSA powers relating to second-charge mortgages but
remains unsure about how the regulation will benefit the buy-to-let
sector.
