With the Financial Services Authority (FSA) already under fire for its refusal to look into the wider area of fees, despite its review into exit fees, a broker has urged lenders to become more transparent in their fee structure and detail all of the costs involved.
The source, who wished to remain anonymous, said; “Lenders should detail exactly what valuations cost, because some lenders charge a few hundred pounds for it, and the valuation might only be £50 or something like that. It doesn’t appear on the KFI so we have no real way of knowing the true cost.
The FSA has been harping on about ‘Treating Customers Fairly’ but lenders need to heed this advice too.”
However, Sue Anderson, head of external affairs at the Council of Mortgage Lenders, said: “Valuation fees are featured in KFIs, the only instance where they are not listed is on fees-free deals where it wouldn’t be listed.”
