Politicians and economists described the charges imposed on home owners in
arrears by Britain’s high street lenders as unfair.
It comes as the number of home owners falling behind with their mortgage
payments rises to a 12-year high.
Grant Shapps, shadow Housing Minister said: “With more borrowers in arrears,
this is not the time for banks - many of which have enjoyed direct support
from the taxpayer - to cash in on homeowners struggling to keep a roof over
their heads.”
The Treasury Select Committee has suggested lenders are charging as much as
£150 for a visit by a debt counsellor and £35 for sending a letter or making
a phone call.
It described excessive charges that go beyond covering administrative costs
and are used to boost profits as intolerable.
Seema Shah, an economist at Capital Economics, said: “Repossession and arrears
are going to keep on rising, and charges are not helpful to those home
owners in difficult.”
The latest housing statistics showed the number of mortgages in arrears by
three months or more reached …
Read the original article at Telegraph
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Tags: Banks, britain, Capital, cash, debt, economics, finance, Homeowners, mortgage, pay, taxpayer, UK
