Upheld: application handling delays and portal technical issues complaint against London and Country Mortgages Ltd (trading as L&C)

Decision detail

Summary

Mr B and Mrs C complained that L&C caused unnecessary delays in their mortgage application process, resulting in them staying with their existing lender and missing a better interest rate. They experienced portal upload issues and questioned why L&C pursued a second application after the first was cancelled. The ombudsman found that while there were minor portal issues and a 7-day delay in addressing them, L&C's overall handling was reasonable, the application cancellations were initiated by the lender, and the decision to pursue a second application was appropriate. The ombudsman upheld the complaint in part and awarded £75 compensation for inconvenience.

The Ombudsman's reasoning

The ombudsman found that while there were minor portal issues and a delay in addressing them (7 days between notification and attempted resolution), L&C did not act unreasonably overall. The portal was generally accessible and functional, documents were processed promptly once received, and the application cancellations were initiated by the lender, not L&C. The decision to pursue a second application with the same lender was reasonable as the first had lapsed and the lender requested a new one. Consumer Duty does not require a faultless process, only that firms have appropriate processes in place.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website