The FCA has acknowledged that while small and medium lenders have engaged with the new rules, major mortgage lenders have shown "disappointingly" little interest or engagement.
What can advisers be doing?
FCA data states there are some 250,000 mortgage prisoners. Advisers should be on the lookout for borrowers who show signs of being trapped and who may need specialist advice in order to remortgage.
For the most part, mortgage prisoners will have taken out their mortgage pre-2008 and will be borrowing from an inactive lender, paying a reversionary rate of interest.
In addition to mortgage advice, advisers can assist by making mortgage prisoners aware of debt charities, should they need it, and make them aware of the legal routes available to them.
Olivia Selley is an associate and Tara Panicker is a paralegal at Harcus Parker
