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  • Have You Been Mis-sold a Mortgage?
  • Claim for Professional Negligence with Claims Against

Professional Negligence Claims Against a Mortgage Advisor

For many, owning a home is one of life’s major achievements. However, the dream can turn sour if you have been given bad mortgage advice.

Whilst mortgage providers are heavily regulated, they do still make mistakes. If you think you have been mis-sold a mortgage, you may be entitled to compensation. We can help if your claim has arisen in the last six years.

Do You Have a Claim?

Common examples of bad mortgage advice include:

  • The mortgage was not suitable for you
  • Other mortgage options were not discussed with you, e.g. a repayment mortgage
  • The advisor did not carry out a full fact find of your financial circumstances / ability to repay the mortgage
  • Switching from repayment to interest-only for affordability reasons
  • Mortgage term runs on past retirement age
  • Self-certification mortgages when there is no track record of income / means to pay
  • Extending the mortgage term to consolidate credit cards and loans
  • Subprime mortgages where there is clean credit history

Negligence on the part of a mortgage advisor can take on many forms, and the above are just a few examples. The friendly and experienced Claims Against team can help establish whether you may have a potential professional negligence claim.

Depending on your unique circumstances, we may be able to pursue your claim on a No Win No Fee basis, ensuring that there is no financial risk to you. Contact us to find out more.

What Do We Need to Prove?

Since 2004, advisers must follow a code to ensure that a mortgage product offered to you is: 

  • Suitable to your needs
  • Affordable
  • The most suitable form that the adviser has access to

In every case, the professional’s advice must be put in writing. You may have a claim for compensation if your mortgage broker or financial advisor has failed to meet these legal requirements and you have suffered a financial loss as a result.

Start Your Claim Today

To start your claim against a mortgage advisor, get in touch with our dedicated professional negligence solicitors. Contact us via telephone on 0800 374 514, email us via info@claimsagainst.co.uk or complete our contact form.

Case Study

Our client was a dentist who was obliged to abandon her profession due to disabilities with her hands. When increasing her mortgage years earlier, she had prudently taken out insurance to protect her mortgage in case of death or critical illness. A financial advisor who she had been instructing for years advised her on the best insurance products to meet her needs.

The financial advisor made a mistake when recommending a new policy. He failed to act on the insured’s instructions that the trigger events for a claim must relate to circumstances whereby she was unable to continue her occupation as a dentist. She wanted what is known as an “Own Occupation” policy. In fact, she already had a much smaller value policy of this type which the same financial advisor had previously sold to her.

Instead, the policy she was sold this time around only allowed a claim in circumstances where she could not perform basic living activities such as walking, bending, reading and writing. Clearly, this fell hugely short of the client’s requirements. The client only became aware of this fact several years later, upon submitting a claim for payment of lump sum to cover her mortgage since problems with her hands meant she could no longer work as a dentist. The insurance company refused her claim, pointing out that she was insured on an “Any Occupation” basis.

The client pursued her complaint to the Financial Ombudsman. Her complaint was initially upheld and she was awarded the maximum sum of compensation payable. However, the insurance company appealed and the Ombudsman reviewed the case, reducing the client’s award to just a few hundred pounds.

At this point, the client sought our advice. We were able to obtain a Barrister’s opinion which agreed with the strengths of her claim and we subsequently corresponded with the insurance company, who then appointed lawyers. Court proceedings have now been started, funded by a No Win No Fee agreement. There are good prospects of a successful outcome for the client.