Not upheld: mortgage enforcement, refusal of settlement proposals, application of interest and charges, refusal of interest rate switch complaint against The Mortgage Business Public Limited Company (trading as TMB)
Financial Ombudsman decision DRN-6288443 of 2026-05-28T00:00:00+00:00. mortgage enforcement, refusal of settlement proposals, application of interest and charges, refusal of interest rate switch complaint against The Mortgage Business Public Limited Company (trading as TMB). Outcome: Not upheld.
Decision detail
| Reference | DRN-6288443 |
|---|---|
| Decision date | 2026-05-28T00:00:00+00:00 |
| Firm | The Mortgage Business Public Limited Company (trading as TMB) |
| Product | mortgage |
| Claim type | mortgage enforcement, refusal of settlement proposals, application of interest and charges, refusal of interest rate switch |
| Outcome | Not upheld |
| Remedy | No remedy ordered. The ombudsman stated that TMB should give fair consideration to any new proposals Mr V might make for full repayment of the loan before taking further enforcement action. |
Summary
Mr V complained that TMB unfairly refused his proposals for partial property sales and pursued enforcement action to repossess his property. The mortgage, taken in 2006-2007 for approximately £660,000, fell into arrears from 2014 and the contract expired in 2023, making the full balance of over £1,400,000 due for repayment. TMB obtained a possession order in September 2023 and a money judgment in February 2024. Although TMB agreed in February 2025 to allow a partial sale of a plot of land for £330,000, the sale did not complete by the extended deadline of 30 April 2025, and the planning permission lapsed on 2 May 2025. The ombudsman found that TMB acted fairly in refusing proposals that would not clear the full debt, that its change in position in 2025 was reasonable based on concrete evidence, and that TMB was not responsible for the failed completion. The complaint was not upheld.
The Ombudsman's reasoning
The ombudsman found that TMB was entitled to expect full repayment of the debt once the mortgage contract expired in 2023. It was not unreasonable for TMB to refuse proposals that would not clear the full debt or reduce its security. TMB's change in position in February 2025 to allow a partial sale was a reasonable reassessment based on concrete evidence of a credible transaction, and this did not make earlier refusals unfair. TMB was not responsible for the failed completion as it provided sufficient time (from 24 March to 30 April 2025) ahead of the planning permission expiration on 2 May 2025. The interest, fees, and legal costs were reasonable and proportionate. The refusal of an interest rate switch in 2021 was reasonable given the arrears level and payment history. Communication delays did not cause prejudice in the wider context.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| The Mortgage Business Public Limited Company (trading as TMB), all decisions | 1 | 0% |
Source
Read the original decision on the Financial Ombudsman Service website