AMI calls on FSA and CML to acknowledge brokers
Share
The Association of Mortgage Intermediaries has welcomed figures from the Intermediary Mortgage Lenders Association, which show brokers continue to dominate the mortgage market, but it wants the trade bodies and the regulator to acknowledge this important role.
Robert Sinclair, director of AMI, says: “These new figures demonstrate the key role that intermediaries have to play in offering consumers advice across the whole of the mortgage market. It has been an extremely tough period for the mortgage industry.
“But it is a positive sign that consumers continue to vote with their feet in terms of the value they place in looking at the wider market.”
He says mortgage brokers have shown real resilience to come through this tough period.
He adds: “We now call on the Financial Services Authority, the Council of Mortgage Lenders and individual lenders to fully recognise the role played by intermediaries in their plans for the future. Consumers value the service and help delivered by brokers in securing the most appropriate mortgage.
“Our objective should be to make this service more accessible, not limit it through pricing or limitations imposed through the Mortgage Market Review.”
If you enjoyed this article, sign up here to receive daily email updates from Mortgage Strategy and Follow @mortgagestrat
Readers' comments (3)
Neil Bellamy | 20 May 2010 12:26 pm
good to see the trade body starting to lobby for what simply is the best service, and fairest outcomes for consumers - should they not also be lobbying the new government, as in my opinion the CML, and FSA are influenced too much by the product providers?
Unsuitable or offensive? Report this comment
Anonymous | 20 May 2010 2:09 pm
The council of mortgage LENDERS are influenced too much by LENDERS, how dare they! I suppose AMI is not at all infuenced by intermediaries???
Unsuitable or offensive? Report this comment
Anonymous | 21 May 2010 9:44 am
Perhams AMi is influenced by intermediaries, but better be influenced by organisation that represents CUSTOMERS than the Bankers. Afterall, lenders are nothing without the customers and if you know FSA rules and banking preferences, the banks are the least place for a customer for product choice as banks like selling their products - they dont like whole of market as they're not the most competitve all times.
Rather than the mud slinging, is it not fair to think about those we serve? The customers? The only body that can give independent whole of market product service are INTERMEDIRIES - FACT!!!
Lenders who think they can do the same all too well know they dont always come at top, besides after the recent spate of bad publicity, it is the intermediaries who are building bridges between Lenders and customers, so perhaps a vote of confidence is what we need.
No doubt there are bad people in intermediaries, its why we got regulators and networks - dedicated bodies to filter clean. The truth? the cleanest of the lot are intermediaries, Lenders cannot offer the independent whole of market products which customers have a right to because of 2 key points:
1) Conflict of Interest (FSA implications)
2) To offer whole of market means diverting some business away, cant think of a lender with a chin to take that punch. There is far greater likelihood of mis-selling or deception to sell lenders own goods and that is not fair competition.
Office of Fair trading, Competition Commission, FSCS/FOS are some of bodies who will get the tickle from customers who have been mis-sold a service.
Fact is no lender offers whole of market products, it is against their own interest & I dont know any business that sets out to cut it's own feet.
Its why intermediaries are critical and customers are fast becoming aware of this - The market is complex and for lenders to get on and do PROPER BUSINESS, they need to let go of the sack and compete in the market with real balls.
Long Live Intermediaries !!!
Unsuitable or offensive? Report this comment