THE Royal Bank of Scotland is reviewing its decision to reject two Skye crofters’ mortgage applications because they had received Croft House Grant funding from the Scottish Government.
Last week, the cabinet secretary for the rural economy wrote to RBS urging it to give fair mortgage offers to crofters.
Currently, those in receipt of the Croft House Grants have been unable to secure an RBS mortgage because the bank fears in the event of insolvency that the Scottish Government’s rights to recover monies under the scheme would rank ahead of the financial institution’s right to recover the home loan.