FSA self-certified mortgages plans 'will make little difference'

Date:Wednesday 14th July 2010
Author: Max Freedman

Despite the tough stance shown by the new Financial Services Authority (FSA) self-certified mortgages plans, moneysupermarket.com has suggested the proposals will not affect many people.

Mortgage expert at the website Hannah-Mercedes Skenfield explained that the measures have been proposed to protect the public from a mortgage boom, but this would appear to be a long way off yet.

In her view, the FSA self-certified mortgage plans do not deal with the biggest issue around currently, which is that many people are struggling to secure a home finance deal.

She said: "Lenders have learnt from the crunch and have tightened their procedures considerably - the 'self-cert' market has all but disappeared for example."

Ms Skenfield claimed that a "hefty deposit" and a clean credit history are mandatory if people want to get a mortgage in the current market.

The FSA chairman Lord Turner recently stated it is both a political and a technical issue how much UK society moves away from a culture of easily-available credit.