Mortgages
Choosing a mortgage means trusting a lender with a large sum for decades, and most people want clear terms, fair treatment and a straight answer when something goes wrong.
Mortgages companies
4 companies
About Mortgages
Mortgages are long-term loans secured against property, used mostly by people buying a home or remortgaging to change their deal. The category covers residential lending for owner-occupiers and buy-to-let landlords, along with the advice and broking services that help borrowers find a product. Products range from fixed and tracker rates to offset and interest-only arrangements, each with different rules on repayment and early exit.
Companies in this sector include high street banks, building societies, specialist lenders and challenger banks, alongside a large network of independent mortgage brokers who arrange loans on behalf of borrowers. Many lenders sell through brokers, while others accept applications directly online or in branch. Comparison websites and estate agents also act as introducers, though the lender remains the party that makes the loan.
Trade bodies such as UK Finance and the Building Societies Association represent member lenders on policy and industry standards. The Council of Mortgage Lenders, now part of UK Finance, historically published market data and codes of practice that many firms still follow. Consumer protection rules require lenders to assess affordability and to explain costs clearly before a loan is offered.
Questions about Mortgages
How do I choose a mortgage lender in the UK?
Start by checking that the lender or broker is authorised by the Financial Conduct Authority, which you can confirm on the FCA Register. Compare the total cost of the loan over its full term rather than the headline interest rate alone.
What should I compare when looking at mortgage deals?
Compare the interest rate, whether it is fixed, variable or tracker, and how long the deal lasts before you move onto the lender's standard variable rate. Look at arrangement fees, valuation fees, early repayment charges and whether the product fee can be added to the loan. Check the maximum loan-to-value the lender offers and the affordability checks it applies, since these determine how much you can borrow.
Do I need a mortgage broker or can I apply directly to a bank?
You can apply directly to a bank or building society, which will only offer its own products. A mortgage broker must be authorised by the FCA and can search across the whole market, and must disclose any fees it charges, including whether it receives commission from lenders.
What happens after I sign up for a mortgage?
After you accept an offer, the lender will instruct a valuation and your solicitor or conveyancer will carry out checks on the property and title. You will receive a formal offer document and a Key Facts Illustration setting out the costs and repayments before you commit.
Can I cancel a mortgage after I have agreed to it?
Under the Mortgage Conduct of Business rules you are entitled to a cooling-off period of at least 14 days after the mortgage starts, during which you can cancel. After this period you will need to repay the loan, but the FCA rules require lenders to be clear about any early repayment charges that apply.
What if I want to switch to a different mortgage deal?
You can switch to a new deal with your existing lender or move your mortgage to a different lender by remortgaging. Check the early repayment charge on your current deal, as leaving before it ends will trigger a fee set out in your mortgage offer.
What rules protect me if I fall behind on payments?
The FCA's Mortgage Conduct of Business sourcebook requires lenders to treat customers in payment difficulty fairly and consider options such as payment plans or temporary changes to repayments. You should contact your lender as early as possible, and free debt advice is available from StepChange, Citizens Advice and Money Helper.
How do I make a complaint about a mortgage lender or broker?
Raise your complaint directly with the firm in writing and ask for it to be handled under its formal complaints procedure. If you are not satisfied with the response, or the firm has not resolved it within eight weeks, you can take it to the Financial Ombudsman Service, which is free for consumers.
Is my money protected if a mortgage lender or broker fails?
Deposits held with a UK bank or building society are covered by the Financial Services Compensation Scheme up to £85,000 per person per institution. Compensation for mortgage advice given by a failed broker is also available through the FSCS where the firm has been declared in default and the claim falls within its rules.
What are my rights if I am treated unfairly by a mortgage company?
The Consumer Duty, introduced by the FCA, requires firms to deliver good outcomes for retail customers and act in good faith. You are also protected by the Consumer Rights Act 2015 and, where a loan is regulated, by the Consumer Credit Act 1974.
What should I look for in reviews of mortgage companies?
Look for reviews that describe specific experiences such as the application process, how long a valuation or offer took, and how the firm handled problems. Give more weight to reviews that mention the product they took out and the outcome, and be cautious of reviews that appear to be written in bulk or only praise or only criticise.
Which regulator oversees mortgages in the UK?
The Financial Conduct Authority regulates mortgage lending and mortgage advice in the UK under the Financial Services and Markets Act 2000. The Prudential Regulation Authority supervises the capital and stability of the banks and building societies that lend, and the Financial Ombudsman Service handles unresolved complaints.