Interest RatesMore UK lenders preparing for SVR hikes

A number of mortgage lenders have approached the Financial Conduct Authority to discuss possible changes to their tracker mortgage contracts, the regulator has revealed.

FCA supervision director Clive Adamson has written to banks and building societies outlining their responsibilities ahead of any variation to their standard variable rates or other contract terms.

He said: “A number of mortgage lenders have engaged with us recently about changing their mortgage contracts, particularly on SVRs.

“We are writing to clarify our position on how you should engage with us if you want to change your SVR and remind you of the relevant regulations and rules that apply.”

Mortgage lenders do not need to notify the FCA before changing their SVRs, he said, but they must be able to show they have complied with regulation.

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