The Financial Conduct Authority (FCA) has fined Royal Bank of Scotland and Natwest Bank £14.5m for failings in their mortgage advice.
The City watchdog said the two firms gave inappropriate mortgage advice to customers. The FCA said "two reviews of sales from 2012 found that in over half the cases the suitability of the advice was not clear." The issues with the sales process included affordability assessments failing to consider the full extent of a customer's budget when making a recommendation, failing to advise customers who were looking to consolidate debt properly and not advising customers what mortgage term was appropriate for them. Only two of the 164 sales reviewed were considered to meet the standard...
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