CML gets consumer award for work on mortgage tariffs
The Council of Mortgage Lenders has received an award from consumer organisation Which for positive change for its work to improve the presentation, accessibility and consistency of mortgage fees and charges.
The CML has worked with Which? for nearly two years on this initiative, which has resulted in a standardised mortgage tariff being introduced on a voluntary basis, to make it easier for customers to understand the fees and charges made by lenders, and to compare them.
‘We are honoured to receive this award. I believe that a core objective of a trade association should be to improve the market in which its members operate. This exercise met that criterion,’ said CML director general Paul Smee.
‘The online market will benefit as a consequence. CML can regard that as a positive outcome for all concerned. Which? contributed a lot to the exercise. They primarily played the role of critical friend, keeping us focused on the ultimate objectives of the exercise,’ he explained.
‘Our work is not over and we are looking at how tariffs interact with price comparison websites, and how we can better present the overall cost of a mortgage in a way that helps the consumer. This is a journey; it was never going to be completed in one fell swoop and within 12 months. But I do believe that the benefits of increased transparency are already being felt,’ he added.
Recently, the Financial Conduct Authority also made reference to the CML/Which? transparency work in its feedback statement on the call for inputs on competition in the mortgage market, and will be contributing to the next phase of the work.
The CML added that it looks forward to working with Which? towards further progress on this ongoing initiative.