Homeowner's despair at delay

Dave Gordon wants Westpac to apply a break fee in line with the original figure. Photo / Martin Sykes

Homeowner David Gordon complained to the Banking Ombudsman in February when his break fee dispute with Westpac became deadlocked.

But he's still waiting for a decision as the Ombudsman's office grapples with a backlog of work.

Gordon said the delay was driving him towards a mortgagee sale, which he was desperate to avoid.

The Herald on Sunday reported last week that complaints to the Banking Ombudsman had doubled in the past year and the number of cases it investigated had trebled.

Ombudsman Liz Brown confirmed her office was overloaded with complaints but the number of investigation staff had doubled to meet demand.

"The fees complaint level is so high this year because of the numbers of complaints about break fees on fixed-rate home loans," Brown said.

Gordon said the delays were placing "huge personal stress on affected individuals and their families".

The office was unable to indicate when it might give a decision on Gordon's case.