An estate agent failed to pass on an offer after being told by a mortgage broker that the applicant had been turned down for a mortgage.
The would-be purchaser complained to the Financial Ombudsman Service after missing out on the property.
The FOS ruled that although mortgage brokers and agents did need to talk to each other, on this occasion they had shared too much information, leading to the agent deciding to ignore the offer.
A separate investigation by the Information Commissioner’s Office found the broker had breached data protection rules.
The FOS said that there was insufficient evidence to show that the broker’s actions had directly led to the applicant failing to buy the property.
However, the broker’s actions had caused the complainant “upset and embarrassment”. The FOS ordered the broker to pay compensation.
The case is highlighted in the FOS’s annual review for 2017/2018.
It is not known whether the failed buyer reported the agent in question to any of the property redress schemes. Legally, agents should pass on all offers promptly, and in writing.
The FOS review shows the number of mortgage-related complaints dropped 14% from the year before, to 8,917.
Just 23% of the complaints were upheld, down from a proportion of 31% the year before.
The FOS did express concern over interest-only mortgages, saying it had heard from a number of borrowers nearing the end of their mortgage term and who face losing their property.