The Money Stop

The mortgage market has completely changed over the last year and it is now likely that consumers wishing to take out mortgages will be hit with arrangement fees, an expert has commented.

Drew Wotherspoon of mortgage adviser Charcol.co.uk, made her comments in response to the news that Abby have introduced a non-refundable fee for new mortgage customers.

She described the move as “another kick in the teeth” for Britain’s consumers, noting that it is likely other lenders will follow suit.

Furthermore, this could cause some would-be borrowers to lose out, Ms Wotherspoon continued.

“There are many things that can happen during a mortgage application that may result in a borrower being unable to complete, a great deal of which a lender can be accountable for,” she added.

Earlier this month, Pauline McCallion, editor of the website Your Mortgage, remarked that, although the number of mortgages available has fallen since the credit crunch hit the economy, homeowners should still shop around to ensure they have the most competitive deal available to them.

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