'Vast majority' understood product

Press Association
Martin Wheatley
Martin Wheatley

The "vast majority" of home owners who were sold interest-only mortgage deals understood what they were taking on, the head of the new consumer watchdog has said.

The Financial Conduct Authority (FCA) issued a "wake up call" to interest-only mortgage holders in May amid fears that up to 1.3 million customers did not have enough cash to pay their loans back.