We need a broker council to help fight our corner
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STAR LETTER
Having read some of the recent letters in Mortgage Strategy, I am now firmly of the opinion that we as brokers need to focus on a vision for the way ahead.
The Mortgage Market Review presents a number of threats to our market, some obvious, some less so. I am also in no doubt that we are in the midst of a battle for distribution and at a significant crossroads for the future.
What concerns me most is the lack of unity of purpose among intermediaries and other interested parties. History has shown us to be a disparate lot but the divisions between networks and directly authorised firms do not help us as an industry. The same goes for mortgage clubs that straddle the link between lenders and brokers.
Our interactions with the FSA are always going to be weak since they are based on individual business models clamouring for market share
The Financial Services Authority has exploited these divisions to the full. Witness the confusing responses to the MMR consultation. Our interactions with the FSA are always going to be weak since they are based on individual business models clamouring for market share.
While I support the Association of Mortgage Intermediaries’ efforts, its job would be easier if it had a unified mandate from the industry it represents.
I would like to call for a broker version of the Council of Mortgage Lenders to be formed. The membership should include AMI, networks, directly authorised firms, mortgage clubs and any interested lenders. This body could present our concerns directly to the FSA with more authority. We need to find common ground and fight our corner. Surely the non-advised sales market has to be a prime target.
A move towards a professional status could be a longer term goal. This would help counter the CML’s undermining of brokers. We need to toughen up but time is short.
Michael Norwood
Mortgages Made Easy
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