Why Penalize Self-Employed?

As the UK mortgage market gets prepared for radical changes that are about to come into force there are worries about the self-employed people who will probably be denied access to mortgages in the nearest future. The ban on self-certification mortgages will be a significant blow to the self-employed and in fact could prevent a large number of consumers from entering the mortgage market.

Although no one can deny the fact that the fraudulent abuse of this type of mortgages did take place with some borrowers stating incomes which didn’t correspond with their actual incomes, the ban on self cert means punishing the majority for crimes committed by the few.

The key argument in favour of the ban on self cert mortgages is an excessive risk which they entail for mortgage providers. Nevertheless, the majority of self-employed people may not be able to prove their constant income although their annual returns are stable and easy to project. Thus, the changes announced by the FSA recently will punish people who have made a great contribution to the recovery of the UK mortgage market.


The cultural transformations that have made people accept life in debt have had a direct impact on the approach youngsters take to money matters, which could lead to negative consequences in the long run as many of the next generation would resort to IVAs to cope with serious financial issues.

When we put efforts into our work and get paid for this, we get an amazing feeling of satisfaction. Our hard hard work seems to have been remunerated financially. We go shopping and buy the items we need and the items we simply want.