FSA issues fine over secured loans - Loans - News - Moneyfacts


Moneyfacts.co.uk News brings you the latest financial & economic news & reviews of the best products in the UK by our team of money experts.

FSA issues fine over secured loans

FSA issues fine over secured loans

Category: Loans

Updated: 31/10/2008
First Published: 20/10/2008

This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Two directors of Abbey Mortgages have been fined after the Financial Services Authority (FSA) found fault with their sale of secured loans.

A review of mortgages sold between June 2006 and June 2007 found that William John Evans and Gary Howes did not carry out sufficient checks into the information provided by customers.

This left the firm susceptible to fraud and put financially vulnerable customers at risk, the FSA stated.

"Obtaining and clearly recording the right information from customers is not just about process but is an important step in preventing financial crime and giving customers the right advice and treating them fairly," remarked head of retail enforcement at the body Georgina Philippou.

The directors were fined £30,000 each and Abbey Mortgages has agreed to undertake a review of its past business.

Last week the FSA fined Alliance & Leicester for failing to provide customers with enough information when selling insurance alongside unsecured loans.

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

Related Articles

Blue Monday hits nation’s finances

Today has been dubbed Blue Monday – the most depressing day of the year – and considering how many people could be battling with their finances this month, it’s little wonder.

Calls to make the loans market clearer

At first glance the personal loans market may seem simple enough, but get into the nitty gritty and it can be anything but. As a result, some are calling for action to make the market clearer and fairer for all.

Get the cheapest ever personal loan!

Have you woken up with a financial hangover after the festivities? Perhaps you’ve got big plans for the year ahead, or maybe you need a new car? Well, whatever your reasons for needing a loan, you can now snap one up for the cheapest ever rate!