FSA propose new mortgage lending rules

FSA propose new mortgage lending rulesThe FSA (Financial Services Authority) have proposed tighter lending guidelines in an effort to avoid borrowers taking on mortgages which they cannot afford. The FSA set out the new proposals in their ‘Mortgage Market Review’ saying they were “common sense”. The proposals are mainly aimed at stopping ‘self cert’ mortgages, where applicants do not need to prove their income, and a move away from interest only mortgages where no specific repayment vehicle in place. The FSA has told lenders that they must ...