BSA: MCD offers little or no benefit to consumers
The BSA has long been of the opinion that such a move would overly complicate and confuse the mortgage process.
Paul Broadhead, head of mortgage policy at the BSA, said: “The BSA is still of the view that the Mortgage Credit Directive will offer little or no benefit to UK consumers, but will add cost, complexity and some confusion to the mortgage process.”
However, the association was keen to distinguish between the difference between the directive and its implementation by the UK government.
Broadhead said: “We welcome the government’s approach to implementation, putting in place the minimum requirements to meet European law.
“The introduction of an appropriate framework for consumer buy-to-let will keep the majority of buy-to-let lending outside the scope of regulation, minimising the disruption to this market.”
The MCD will come into force in March 2016.