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Hi, we have recently put a claim to the FSCS due to believing we were mis-sold a self certification mortgage by Flagstone Finance back in December 2005.
We belived we were mis-sold due to 2 key areas.
1. The firm recommended a self-cert mortgage even though both applicants were employed and could prove our income.
2. The firm changed lender details on the application form after we had signed it, resulting in a higher APR.
We have since had a reply from the FSCS stating they are unwilling to uphold the claim due to the following reasons.
1. Even though we were advised to take a self-cert mortgage we apparently could have asked the firm if there was a lender who would have accepted a non self-cert mortgage, based on us proving our income. The FSCS also state that we could have withdrawn from transaction if we were dissatisfied.
2. The FSCS are unable to confirm if the product details were changed before or after signing (even though it is clearly crossed out on the form), however the mortgage offer showed the correct product and once again we could have gone elsewhere if we weren't happy.
As you can imagine we're not very happy with the response from the FSCS. We believe a mortgage advisor was there to advise on the best possible product for us and we still belive this isn't the case in this instance.
We have since looked further at the paperwork and noticed that the mortgage advisor appears to have received 3 seperate fees for their work, one for £545.00 as an arrangement fee (added to the mortgage), a further payment for £750.00 for the brokerage fee which was deducted from our eventual payment and also a fee of £809.63 paid to the broker from GMAC (the mortgage company). This to me seems a bit excessive for a remortgage of £94500 and is a real cause for concern now (if not at the time).
Is there any way we can take this case further with either the FSCS or any other company to try and get the issue resolved.
Thanks :tinysmile_grin_t:
We belived we were mis-sold due to 2 key areas.
1. The firm recommended a self-cert mortgage even though both applicants were employed and could prove our income.
2. The firm changed lender details on the application form after we had signed it, resulting in a higher APR.
We have since had a reply from the FSCS stating they are unwilling to uphold the claim due to the following reasons.
1. Even though we were advised to take a self-cert mortgage we apparently could have asked the firm if there was a lender who would have accepted a non self-cert mortgage, based on us proving our income. The FSCS also state that we could have withdrawn from transaction if we were dissatisfied.
2. The FSCS are unable to confirm if the product details were changed before or after signing (even though it is clearly crossed out on the form), however the mortgage offer showed the correct product and once again we could have gone elsewhere if we weren't happy.
As you can imagine we're not very happy with the response from the FSCS. We believe a mortgage advisor was there to advise on the best possible product for us and we still belive this isn't the case in this instance.
We have since looked further at the paperwork and noticed that the mortgage advisor appears to have received 3 seperate fees for their work, one for £545.00 as an arrangement fee (added to the mortgage), a further payment for £750.00 for the brokerage fee which was deducted from our eventual payment and also a fee of £809.63 paid to the broker from GMAC (the mortgage company). This to me seems a bit excessive for a remortgage of £94500 and is a real cause for concern now (if not at the time).
Is there any way we can take this case further with either the FSCS or any other company to try and get the issue resolved.
Thanks :tinysmile_grin_t:
