Mortgage broker gets a £30,000 fine

A UK mortgage broker has been fined by financial authorities after he was found to have given advice to consumers that put them at increased risk in the current financial climate. William John Evans from Abbey Mortgages, along with another director from the firm, was fined a total of £30,000 by the Financial Services Authority.

For some time, and particularly over the last year due to the conditions in the financial markets, the FSA has been cracking down on regulation breaches by mortgage companies and lenders. The regulator looked at around 113 cases between January 2006 and April 2008, and having assessed the cases found that Abbey Mortgages had failed to meet required standards.

Mr Evans said that the fine would be used to pay for a more thorough review of the firm’s practices, stating: “The cases they were concerned about we have to pay for an independent company to do a full review to make sure there was no detriment to our clients. This couldn’t have come at a worse time with the market in the state it is. We’re not short of enquiries, we’re just short of mortgages for them.”

The FSA said: “Obtaining and clearly recording the right information from customers is not just about process. It is an important step in preventing financial crime and giving customers the right advice and treating them fairly. This is always important but is especially important in difficult economic times.”