Buy-to-let mortgage exit
fees tripled in the last four years
Within a 5-year period, it has been
proved that mortgage
exit fees have been tripled; this is leaving borrowers to pay
large fees of up to £300.
Moneyfacts.co.uk have done research
and concluded that mortgage lenders have risen the exit fees simply
to make up for lost revenue from 2006, Office of Fair Trading
are stating that there should be some sort of cap on charges struck
Today it has been claimed that borrowers,
especially mortgage holders in the buy-to-let sector, are going
to experiencing high mortgage
exit fee charges, as the figure was mentioned £300. Looking
at figures in 2002 these exit fee charges were only £100
and if no action is taken then this figure will increase further.
Spokesperson for moneyfacts.co.uk indicated
to the Scotsman.
"It seems some mortgages
have a real sting in the tail,"
"It is hard to see how some banks
and building societies can justify high mortgage
The Financial Services Authority
will assess lenders
who have been charging borrowers with these high exit fees. This
initially will help borrowers to save money on the long-term.