Ercs Condemned ; Personal Finance Mortgages

Summary


With lenders under pressure to refund exit fees levied when borrowers close mortgages, David Tit-muss of broker The Mortgage Lender says a greater crime is penal Early Redemption Charges (ERCs) levied on those falling into arrears on repayments.

"ERCs cause far more anguish for homeowners and far more aggravation for lenders", he says. "It makes no sense at all penalising people who cannot keep up repayments with a hefty fee to escape a mortgage they can no longer afford".

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Ercs Condemned ; Personal Finance Mortgages

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