The Financial Conduct Authority has announced that Santander UK will contact more than 270,000 mortgage customers after unclear information it gave before increasing the cap on its standard variable rate in 2008.
Which? executive director Richard Lloyd said:
“Presenting important mortgage changes in such an unclear way is wholly unfair and it’s right that the regulator clamps down on this sort of behaviour.
“This is not the first time banks have failed to communicate properly with their mortgage customers – we remain frustrated with the appalling behaviour of the Bank of Ireland in hiking rates on mortgages sold as ‘lifetime’ trackers. The Financial Conduct Authority must re-double their efforts to ensure banks do not mis-sell products and instead communicate much better with their customers so there are no nasty surprises.”