Home Finance claims

FSCS can only consider claims relating to home finance (e.g.mortgage)advice and arranging on or after 31 October 2004 and only against firms that were fully authorised at the date the advice was given. You can check whether a firm is authorised by using the FCA's firmcheck service.

The main area of home finance advice that may give rise to a claim falling within the remit of FSCS relates to the suitability of that advice for the customer's circumstances at the time.

Examples of unsuitable home finance (e.g.mortgage) advice and arranging that may give rise to claims within the scope of FSCS include:

  • Where a consumer has not been advised about the different types of mortgage available, which resulted in them choosing a mortgage that was not suitable for them at the time. They have lost money as a result.
  • If specific details of the mortgage chosen are incorrect, for example a longer term has been selected than the consumer had intended or required, and the consumer has lost money as a result.
  • If a consumer was advised to switch mortgages but was not given an adequate explanation of why a switch should be made, and the advice to switch mortgages resulted in the consumer losing money.
  • If a consumer was advised to take out a lifetime mortgage that was unsuitable for their circumstances at the time and they have lost money as a result.

FSCS has not yet received a claim falling under the Mortgage Advice and Arranging Sub-scheme, and no firms have been declared in default under this Sub-scheme.

Compensation limits

FSCS can pay up to £50,000 in compensation per person per claim.

How to claim


About the FSCS

Click here to find out more about the FSCS, its role, its operations and its personnel.

The FCA

The Financial Conduct Authority website includes a searchable database of all firms authorised and regulated by the FCA and the Prudential Regulation Authority (PRA).

The FOS

The Financial Ombudsman Service is the official independent expert in settling complaints between consumers and financial businesses

Jargon Buster

  • FCA

    The Financial Conduct Authority is the UK's regulator for the financial services industry. 

  • FSA

    Financial Services Authority, was previously the UK's regulator for the finance industry. It was replaced by the Prudential Regulation Authority (PRA) and the Financial Conduct Authority (FCA) on 1 April 2013.
  • In default

    A firm unable, or likely to be unable to pay claims against it. This will generally be because it has stopped trading and has insufficient assets to meet claims, or is in insolvency.