UK watchdog steps in over mortgage 'time-bomb'

Britain’s market watchdog has asked mortgage lenders to check if customers can pay back the loans, stepping in early to head off possible defaults in a sector the government sees as key to reviving growth.

The Financial Conduct Authority (FCA) said the capital on 2.6 million interest-only home loans will be due for repayment over the next 30 years, with 10 per cent of those having no strategy for paying back the money.

via Business feed http://www.scmp.com/business/banking-finance/article/1228246/uk-watchdog-steps-over-mortgage-time-bomb