Friday, February 3, 2012
FSA notch a noteworthy success to protect people from themselves.
I remember these 'sell and rent back' schemes were big in the immediate aftermath of the 07/09 crash. Distressed homeowners unable to meet their mortgage repayments would sell their homes to these firms, obviously BMV, and rent it back to them. Of course the danger was no security of tenure or guarantee that these companies wouldn't rachet-up the rent after a year. So, fair play to the FSA for kicking this lot in to touch, although of course these sharks are simply symptoms of the problem.