As a result of consumer research the, soon to be replaced, non-statutory industry regulator found that 28 per cent of all borrowers are aware of the Code, and of these 61 per cent believe that due consideration is made of ‘affordability’ when arranging a mortgage, and 65 per cent think that mortgage charges are fair.
Luke March, chief executive of the MCCB, said: "The Code has only been in place since 1997 for lenders and 1998 for intermediaries. These research results show the Code is having a positive impact in that new borrowers are increasingly aware of their rights, and a majority are satisfied with the way they are dealt with during the sales process."
"Key areas now covered by the Code, such as mortgage advice, will be subject to statutory regulation under the FSA at a future date. Working closely with the FSA and Treasury towards this, we will continue to promote the value of consumer protection offered through the Code and offer a seamless transition to statutory regulation. The results show that there is an increasingly firm foundation on which to build – a fact the industry can view with considerable pride."
