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CML welcomes crackdown on mortgage fraud
22.07.2008
The Council of Mortgage Lenders (CML) has welcomed steps being taken by the Financial Services Authority (FSA) to combat fraud among mortgage brokers.
It stated it is in agreement with the FSA's view that the best method of tackling fraudulent practice is for mortgage-lenders to work together with the regulator.
The CML highlighted its own recent initiative to implement a change in the standard instructions given by lenders to conveyancers - a measure brought in to ensure newly-built properties are accurately valued.
CML director general Michael Coogan said: "The FSA rightly identifies that the best way to tackle mortgage fraud is for lenders and the regulator to work together, along with law enforcement agencies, to root out fraudsters."
He suggested that more lenders are now expected to sign up to the FSA's voluntary code, which aims to identify and investigate broker fraud.
Earlier this month, the CML welcomed new measures to ensure lenders should act quickly to assist homeowners with managing their mortgage payments.
Mortgage providers have agreed in principle to a new pre-action protocol, which would consist of a checklist of options for lenders to work through when homeowners are in arrears - with repossession being emphasised as a last resort.
It stated it is in agreement with the FSA's view that the best method of tackling fraudulent practice is for mortgage-lenders to work together with the regulator.
The CML highlighted its own recent initiative to implement a change in the standard instructions given by lenders to conveyancers - a measure brought in to ensure newly-built properties are accurately valued.
CML director general Michael Coogan said: "The FSA rightly identifies that the best way to tackle mortgage fraud is for lenders and the regulator to work together, along with law enforcement agencies, to root out fraudsters."
He suggested that more lenders are now expected to sign up to the FSA's voluntary code, which aims to identify and investigate broker fraud.
Earlier this month, the CML welcomed new measures to ensure lenders should act quickly to assist homeowners with managing their mortgage payments.
Mortgage providers have agreed in principle to a new pre-action protocol, which would consist of a checklist of options for lenders to work through when homeowners are in arrears - with repossession being emphasised as a last resort.