This five step guide aims to help you find out more about your existing or intended mortgage provider’s green and ethical credentials, or to find a provider which is a better match to your own ethical values.
Step 1 - Research
Find out about your mortgage provider’s policies on the green and ethical issues that are most important to you. You can do this by using this site to find out how your provider has performed against the site’s green and ethical criteria. You should also check your provider’s website for information on green and ethical products or corporate social responsibility policies.
A key question you might ask is whether your provider has policies in place to ensure it lends money responsibly and/or offers debt advice, payment holidays or other services to customers who fall into arrears.
If there’s a specific question you can’t find the answer to - contact your mortgage lender directly.
Step 2 - Support
If you are happy with your current mortgage provider’s green and ethical policies, consider writing to it to support the work it is doing. Your might even encourage other mortgage holders you know to do the same. This may help it to maintain good policies in key areas.
Step 3 - Oppose
If you find that your provider’s green and ethical policies do not meet your expectations consider writing to it to express your concern and to highlight the areas that you feel it needs to address.
While your provider is unlikely to change its policies solely because of your letter, it may respond positively to consumer demand as demonstrated by a number of individuals. If you know other people using the same provider, consider trying to get multiple signatures on your letter or even using free online petition software to make your voice heard. Either way, it’s important to express yourself if there’s something you’re not happy with.
Step 4 - Switch
If you find that your provider does not address your green or ethical concerns and does not have satisfactory plans in place to address them in the future, consider changing to a new provider who does when it is time to renew your mortgage. The mortgage provider search can help you find providers who perform well against the site’s green and ethical criteria. You should also check out our Mortgage section for a list of possible green and ethical lenders and to read up on the key issues around this type of finance.
It is very important to note that switching providers before your mortgage is due for renewal can mean incurring a penalty fee. There are also a number of important financial considerations to take into account to ensure you get a good deal from your new provider.
Finally, if you do decide to change providers, consider writing to your original mortgage lender to let it know what you’re doing and why.
Step 5 - Stay informed
In addition to this site, it’s worth checking in regularly with websites like Banktrack who monitor the behaviour of financial institutions and report on any scandals or allegations against them.
Notes on using template letters
Templates are given as examples of what you may want to say to your mortgage provider. It is advisable to send copies to both your branch (if applicable) and your provider’s head office. For a full list of bank, building societies and mortgage lenders’ head offices click here.
Please amend templates as much as possible; financial institutions are more likely to take note of and respond to a personalised letter rather than one clearly downloaded from a template.
