Brokers are calling for direct access to clients’ credit reports to help them recommend suitable lenders and products.One broker tells Mortgage Strategy: “Many clients don’t know their credit details, so access to reports would help brokers find the most suitable lender and products. “Though brokers can apply to access information via the client, this can take up to two weeks which is to the ultimate disadvantage of the client.” Ray Boulger, senior technical manager at John Charcol, agrees that the public data available to brokers is not adequate and that direct access, if possible, would make the intermediary’s job easier. But he adds that general access to shared data could be used by firms to target products at individuals. Currently organisations only have access to shared data when they enter into a contractual commitment with one or more of the credit reference agencies – Experian CAIS database, the Equifax Insight database or the Callcredit Share database – to supply data relating to their own customers. This “commercial arrangement”, as one broker describes it, means that unless the rules of data sharing change, brokers will continue to have to apply for information indirectly through their clients or a lender. Geoff Cave, chairman of the Steering Committee on Reciprocity, which oversees the sharing of personal credit performance, says that to protect the decisions of lenders and stick to the Data Protection Act, only members that submit data are able withdraw it. The governing principle of SCOR is that ‘data is shared only for the prevention of over-commitment, bad debt, fraud and money laundering, and to support debt recovery and debtor tracing with the aim of promoting responsible lending’. Neil Munroe, director of external affairs at Equifax, says: “Allowing brokers access to shared data has been looked into but the principles of SCOR are not compatible with it.”
- Top trends
1st, the supplier of integrated technology solutions for financial advisers, today launches the fourth major version of its adviser software solution Adviser Office 4: Accelerating E-Business. This version of Adviser Office has been developed in close conjunction with intermediaries, with the focus of the product on providing increased simplicity with an easier user experience based […]
Mortgage Strategy’s weekly guide to what’s hot and what’s not on the web. Kevin Paterson takes a look at lender websites, working his way from A to Z
From Simon Burgess I fully endorse the need for Financial Services Authority regulation in the PPI field and regard the Treating Customers Fairly initiative as conceptually brilliant, but there is still a long way to go before the regulator can claim that its regime is working in practice. I recently commissioned an independent mystery shopping […]
Pink Home Loans has launched an on-track product range in association with Freedom Lending.The on-track range is designed to get borrowers back to a prime rate and covers light to heavy adverse. Opening rates start from 5.94% and will reduce by 0.10% every six months, subject to payments being made, until the lifetime tracker rate […]
Those with a long memory will recall that at the start of the last parliamentary term George Osborne announced his intention to merge income tax (IT) and national insurance (NI). Headline grabbing as the initiative was, the reality of the complexities, challenges and costs of such a move resulted in this idea being kicked into the political long grass.
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