Mortgage complaints

What to do first

If you're not satisfied with the advice or service you have received from a lender or broker, discuss it with the lender or broker concerned. The Mortgage Code says they must have their own internal complaints procedure. You can get a copy of the code from:

your lender or broker,

the Council of Mortgage Lenders,

the Mortgage Code Compliance Board

Taking it further

If the internal complaints procedure does not resolve your complaint, you can refer it to:

the Financial Ombudsman,

the Mortgage Code Arbitration Scheme.

The lender or broker should tell you which of these schemes applies to them. These bodies cannot take up individual complaints, but may be able to put pressure on the firm to follow the complaints procedure in the Code. The Financial Services Authority can also give general advice on making a complaint.

Discrimination

If you think you have been discriminated against in your mortgage application because of your sex, you might have a case under anti discrimination legislation. For example, if you're a couple applying for a joint mortgage and the woman earns more than the man, it would be sex discrimination for the lender to use the man's income as the higher one in working out how much they will lend you.

Some other kinds of discrimination - on grounds of race or disability - would also be illegal, though may be very difficult to prove. At present the law does not protect you from discrimination because of your age or because you are gay or lesbian. However, if you have reason to believe you were treated unfairly you should still make a formal complaint.

Complaints about endowment policies

You may be able to make a complaint and get compensation if your endowment policy won't cover the outstanding capital at the end of your mortgage. If this isn't successful, you can take steps to ensure your mortgage will be paid off.

Check out all your options and get independent financial advice before you make any decisions.