FSA should warn customers over interest-only mortgages - More2Life

More2Life has said a system of red, amber and green letters - modelled on a scheme which keeps customers informed about the performance of endowment mortgages - would help those who do not have repayment plans to take action. Managing director, Jon King [pictured] said interest-only mortgages were a ‘time-bomb' for older borrowers. According to the lender's customer data, the over 65s are paying off interest-only mortgages of £43,000 on average. Around 103,000 households with owners aged over 65 are still paying off mortgages, with a total spend of around £1.36 billion a year. King...