CML supports mortgage reform

The Council of Mortgage Lenders CML has said that while it is clear the mortgage market needs reform, key questions need to be considered.

People seeking out cheap mortgages were told by the body that an "over-zealous" approach to restructuring is not in anyone's best interest as it will permanently exclude "swathes" of customers from a market which is already difficult to get into.

"We agree with those consumer groups wanting to strike a balance between the potentially competing needs of delivering adequate protection while allowing customers access to credit to fulfil their reasonable aspirations," the organisation said.

It added that cost-benefit analysis needs to be undertaken while it is also important to look at changes that homeowner may want to take on to make their home more energy efficient.

Catherine Hearnden, director at MyMortgageDirect, added that certain proposals to restrict the availability of cheap mortgages and limit amounts lent are "ridiculous".

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2011-06-15 16:33:22 © Moneyextra.com