Treasury issues buy-to-let regulation proposals

I quote....“since the onset of the global financial crisis, the Government has worked hard to ensure mortgage borrowers are treated fairly by their banks." What an unbelievable statement from a Government that have proven to be totally inept in this crisis, liars at worst, and awful spin doctors at best, and how this woman could assert such a clear untruth is beyond me. Does ANYONE believe that people have been treated fairly?

It is well overdue to legislate secured lending.The mortgage industry which is heavily legislated for first charges allows any idiot,with no formal qualifications or training to give advice on second charges, posing a much larger threat to the affordability question and potential repossession of homes due to hideous broker fees/interest rates and inadequate consideration to actual ability to pay. Cant happen soon enough and will further deplete the number of inadequate so called advisors....great!!!

Legislation such as this cannot come too soon and should have been introduced in 2004 when mortgage regulation came in. There have been far too many cases of BTL lending to novice landlords with scant attention to future affordability if the market dropped and the wheels fell off. Second charges have also for too long been regarded as a fallback option when sensible levels of borrowing are to be exceeded. Lending criteria has been far too generous, with lenders safe in the knowledge that to be challenged later by disgruntled borrowers would have meant them being engaged in costly (to the borrower) legal action instead of normal complaints recourse. Example of logic defying lending: the Halifax would not allow my clients to increase their mortgage as it was 'unaffordable' under their first charge criteria. However, they granted instead a secured personal loan, over a shorter term, at higher monthly cost without batting an eyelid.

Let’s hope they put a stop to lenders who adopt “Chinese Wall” marketing soon after a mortgage is placed and to clients up secured loans before the ink is dried and income has increased. Julie Angulatta, its nice to know that I’m not the only one that could not see the point of affordability when clients could make further borrowing with the SAME LENDERS or others minutes after completion of purchase, remortgage or consolidation.