FCA measures will assist recovery of mortgage market
Publication date:
02 April 2020
Last updated:
25 February 2025
Author(s):
Chartered Insurance Institute
In response to the FCA’s announcement about temporary relief available to customers impacted financially by the coronavirus, David Thomas, Chair of the Society of Mortgage Professionals, said: “Ensuring customers do not have their credit ratings negatively impacted by using the temporary reliefs available if they are financially impacted by the coronavirus will be a key component in ensuring a swift recovery for the mortgage market.
“There will be a large number of people whose finances will be seriously affected by coronavirus, but who will be able to rebuild their financial position quickly once the initial crisis is over. It is important that these people are not prevented from restoring their finances by being forced into short term debt, or by having their credit status reduced.
“The temporary measures announced by the FCA today (2 April) will place individuals and firms in a stronger position when things begin to return to normality.
“Of course, the devil is in the detail and it is important that despite what is undoubtably a fast moving and unprecedented situation, the longer-term impact of any such measures are considered carefully.
“It is also crucial that the sector takes a unified approach to this guidance: all lenders should adhere to this to ensure the best possible outcome.”
ENDS
This document is believed to be accurate but is not intended as a basis of knowledge upon which advice can be given. Neither the author (personal or corporate), the CII group, local institute or Society, or any of the officers or employees of those organisations accept any responsibility for any loss occasioned to any person acting or refraining from action as a result of the data or opinions included in this material. Opinions expressed are those of the author or authors and not necessarily those of the CII group, local institutes, or Societies.