New research indicates that people would be willing to lie in order to secure a mortgage.
According to the recently released study, almost half of participants who took part in a poll said they would lie if it meant getting approval for a mortgage. The survey, conducted by loveMONEY.com, revealed that 47% of borrowers would lie to secure the home of their dreams, while 53% would remain honest.
Since April 2014, lenders have had to impose tough lending criteria to comply with new affordability regulations. The Mortgage https://www.beaconfinancialtraining.co.uk/wp-content/uploads/2020/06/cemap-online-and-classroom-training-uk.jpget Review has made it harder for some people to obtain a mortgage. However, if discovered lying about circumstances, there can be severe consequences.
It is very easy to be caught out if providing false information, especially since the introduction of the Mortgage Verification Scheme, which is run by the Building Societies Association, HMRC and the Council of Mortgage Lenders.
Self-certification mortgages have been banned in the UK, but one company has discovered a way to get around the regulations, by setting up a business in the Czech Republic and offering self-cert mortgages to borrowers who may not be able to afford the repayments. However, borrowers aren’t protected by the Financial Ombudsman Service if a problem occurs. There were around 4,000 enquiries for self-cert mortgages during the first week, so the company has now had to close as it is out of funds.
It is preferable to obtain advice from a mortgage adviser who has had CeMAP training in the UK, to help secure an affordable mortgage with full protection.
