According to the FOS, around three-quarters of all complaints were made against lenders, with mortgage exit fees and arrears charges the most common cause for dispute.
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However, 83 per cent of smaller intermediary firms had no complaints at all over the past year, with the main reason for those that did down to the explanation of fees to the customer.
Emma Parker, press officer at the FOS, commented: “83 per cent of firms had no complaints at all, which is good news. Small firms have different needs but mortgage intermediaries and IFAs have a good record with the Ombudsman and we’re always trying to improve our relationship by making ourselves as accessible as possible. Often, problems only arise among those firms we don’t have contact with so we will continue to get out there as much as possible.”
Overall, mortgage endowment complaints still accounted for nearly half of the Ombudsman’s workload, although the number of new complaints fell by a third in the past year and is expected to do so further in the coming months.
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Sole broker Tony Catt commented: “Banks have increased their charges and I can see why people are going to the Ombudsman. I’m sure they’d be fed up if they took out the mortgage ten years ago and are now forced to pay a £300 deeds release fee if they want to remortgage. I’m not sure how many clients would do anything about this but if they are going to the Ombudsman then that’s great.”
