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Three mortgages dropped

Date: Mon, 25 Oct 04 Analysis

Abbey has withdrawn a trio of its mortgage packages.

The move comes nine days before the Financial Services Authority (FSA) begins regulating mortgage sales, says the Housefund website.

The bank is temporarily withdrawing its popular Flexible Plus Tracker mortgage nine days before the FSA begins regulating mortgage sales, says the Housefund website. Also gone are Abbey's Deal for Life and Reward product.

From October 31st - Mortgage Day - the FSA will assume statutory responsibility for regulating the mortgage industry.

The new rules require lenders to provide more detailed information on their products to consumers - in what us referred to as a Key Facts Illustration (KFI). Mortgages without a KFI cannot be sold.

The BBC reports that Abbey are working on making their products compliant to the new rules. However approximately 200 customers have been affected by Abbeys decision.

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