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Equity release sales process should have different set of rules

Avid readers of what now amounts to a library of documents produced by the Financial Services Authority will no doubt have seen the three
consultation papers that constitute the Mortgage Market Review.

Much comment has been made on their potential impact on mainstream mortgage advice but far less has been said about what might be described as the potential effect to equity release.

The FSA states that based on information it previously gathered via the Mortgage Effectiveness Review, it can see no reason why the new proposals should not apply equally to equity release.

I strongly believe the sales process in equity release varies significantly from mainstream mortgages so warrants a different approach.

Whatever your opinion, make it count by giving the FSA your comments. You have until February 25 2011.

JON KING
MANAGING DIRECTOR
MORE2LIFE

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  • Simon Chalk 21st December 2010 at 9:44 pm

    I completely support Jon King’s recommendations. In recent meetings with FSA, they clearly expressed that they do not understand where equity release fits & are very welcoming of comments & involvement from the sector specialists. We have submitted our formal response to the 3rd paper & encourage other firms to do likewise before the deadline if they care about their clients & their livelihood. Simon Chalk Later Life Planner, LaterLiving