*******Kensington Mortgages please read*********

[mrsfoot]

I am aware that a number of claimants on this site are against Kensington. I have found this piece of info (apologies if it has already been on here)

 

Kensington Mortgage Company

 

Mr. Sheerman: To ask the Secretary of State for Trade and Industry what recent discussions he has had with the relevant local trading standards offices concerning the activities of the Kensington Mortgage Company. [112783]

 

 

Dr. Howells: I have had no such discussions.

 

Mr. Sheerman: To ask the Secretary of State for Trade and Industry

 

(1) if he will order an inquiry into the lending practices of the Kensington Mortgage Company; [112782]

 

(2) if he will make it his policy to investigate the activities of non-status lenders in the mortgage lending sector. [112781]

 

 

 

Dr. Howells: Most non-status lenders hold consumer credit licences issued by the Director General of Fair Trading. The Director monitors the continuing fitness of licence holders. He also monitors lenders' and brokers' compliance with his guidelines on non-status lending.

 

Mr. Sheerman: To ask the Secretary of State for Trade and Industry what recent discussions he has had with the Council of Mortgage Lenders concerning the (a) commissions, (b) penalties and © other charges made by the Kensington Mortgage Company. [112779]

 

 

Dr. Howells: None.

 

Mortgage Sector

 

Mr. Sheerman: To ask the Secretary of State for Trade and Industry what steps he is taking to protect vulnerable consumers from high levels of commission rates charged by non-status lenders in the mortgage sector. [112778]

 

 

Dr. Howells: The Office of Fair Trading published guidelines for lenders and brokers in the non-status market in 1997 include guidance on lenders commission structure and disclosure of brokerage and other fees payable by the borrower. The Director General of Fair

 

7 Mar 2000 : Column: 588W

Trading has indicated that lenders and brokers who do not comply with the guidelines risk licensing action under the Consumer Credit Act 1974.

 

Mr. Sheerman: To ask the Secretary of State for Trade and Industry what protection his Department provides to mortgagees in respect of the penal rates charged to consumers by mortgage lenders who fall behind in their payments. [112777]

 

 

Dr. Howells: If a mortgage loan is a regulated agreement under the Consumer Credit Act 1974, the lender cannot charge interest on arrears, when the borrower defaults, at a rate which exceeds the contractual rate of interest. The Act also contains provisions, not restricted to regulated agreements, which enable consumers to apply to the courts to have their credit bargains re-opened if they are extortionate. One of the factors the courts can take into account when considering whether a credit bargain is extortionate is prevailing interest rates at the time the agreement was made. Among other remedies, the court is able to alter the terms of the credit agreement or order the creditor to repay sums paid under the agreement to the borrower.

The Unfair Terms in Consumer Contracts Regulations 1999 provide that terms in standard form consumer contracts (other than terms about price or the subject matter of the contract) are not binding if they are unfair, and enable the Director General of Fair Trading and others to bring injunction proceedings before the courts.

 

Mr. Sheerman: To ask the Secretary of State for Trade and Industry what guidance his Department gives to mortgage lenders on appropriate levels of charges to their customers. [112780]

 

Dr. Howells: None. However, the Director General of Fair Trading's guidelines for non-status lenders and brokers require charges on default to be reasonable and do no more than cover the lender's administrative costs. The Director General has also issued guidelines under the Unfair Terms in Consumer Contracts Regulations 1999 which say that it is unacceptable for lenders to vary interest rates at will unless consumers can end the contract immediately and without penalty.

 

I feel if everyone, who has had the rough end of this companies stick with arrears and charges, writes or even better makes an appointment to speak with your local MP and takes this with them and all evidence of how this company treat their consumers, then some action will be taken. Remember MPs meet and talk, and by talking to your MPs individually will bring more light to this situation that Kensington corners comsumers into.

 

Please if you intend on speaking to your MP, either PM or post who it is you will be speaking to so I can then bring this to my MPs notice who is heading up some inquiry work for within the Gvnmt.

[mochamoo]

This might be a silly question, Who are Mr Sheerman and Dr Howells?

[kopite71]

Kim Scott Howells is MP for Pontypridd & Barry Sheerman is MP for Huddersfield.

 

What other roles they perform within the Government I don't know.

 

It would seem Howells must be on some committee of some sort.

 

That's only a quess though.