From Rod Murdison
I've always felt that legislation should work backward from trying to stop whatever abuse is going on than just be blanket coverage (we've already seen the disastrous effect legislation has had on the financial services industry and will have on mortgage broking). What nobody seems to want to say aloud is that mortgages that are 'non-conforming' pay the most and, therefore, are the most likely to attract the cowboys, be they brokers or so-called packagers. I wouldn't have thought it took an intellectual genius to work out what the most blatant 'wideboy' practices are and either legislate against them and/or impose heavy penalties on transgressors.
Equity release is a different matter. My experience has been that the elderly are too unnerved by this 'new' idea to go for it. Also, they're of a generation that believe that owing nothing to anybody meant you were free – so how that guy managed to be fined that huge sum is beyond me.
I can understand the desire to protect the elderly and what are effectively (if unintentionally!) their life savings. But why legislation couldn't merely address whatever the negative issue is or could be with equity release I'll never know!
Murdison & Browning