Brokers may face litigation over BTL deals

clock

Solicitor Moore Blatch has slammed the FSA for ignoring its calls for investment warnings on all buy-to-let mortgages, warning brokers may now face the threat of litigation as a result.

The firm first raised its concerns a year ago, and called for lenders, brokers and the FSA to make investment warnings mandatory. It highlighted that with arrears and repossessions within the sector increasing at a high rate, the scale of the problem calls for immediate regulation. It warns some brokers may now face the threat of litigation if any buy-to-let investor can support a claim the broker provided advice that went further than purely that of providing a mortgage. Litigation lawyers could have a strong case against a broker if they recommended buying properties as an investment ...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Your profession

London pushed out of top five wealthiest cities as millionaires exit

London pushed out of top five wealthiest cities as millionaires exit

Comes as Labour cracks down on non-doms

Sahar Nazir
clock 09 April 2025 • 1 min read
BoE governor assures chancellor that UK markets 'are functioning effectively'

BoE governor assures chancellor that UK markets 'are functioning effectively'

Banking system 'resilient'

Linus Uhlig
clock 09 April 2025 • 2 min read
Gilt yields increase as part of sell-off of government debt

Gilt yields increase as part of sell-off of government debt

Investor unloading of US Treasuries drags government borrowing costs higher globally

Jonathan Stapleton
clock 09 April 2025 • 1 min read