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Mortgage holders are being warned of ’empty promise’ notes claiming they can clear loans. Some claims are being made online that borrowers can avoid paying their mortgage by sending their lender a “promissory note”, the Financial Conduct Authority (FCA) said.

The notes claim another party, such as a trust, will either make money available to make mortgage repayments, or claim the note itself should be accepted by the lender to repay the mortgage in full.

The regulator said a promissory note is not an acceptable form of mortgage payment – and if one is sent to a lender that does not mean the customer no longer has to repay their mortgage.

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Greg Sachrajda, head of department in retail banking mark

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