View more on these topics

FSA is still missing the point – it should insist advice is given

With regard to the FSA’s latest stipulation that anyone involved in the sale of a mortgage should have a Level 3 qualification, surely it is still missing the point.

All face-to-face mortgage sales should be advised, whether by a broker or a lender.

Obviously, to give advice advisers must have CeMAP or its equivalent, so the FSA has a small victory there.

But insisting on advice would stop banks selling inappropriate products and hide behind the non-advised defence.

When a customer goes into a bank for a mortgage, they expect to receive advice and regardless of what the IDD may say, they believe the bank has provided them with the best product for their needs.

In reality, they may have been sold something that is far from the most suitable.

If banks are unable or unwilling to take on the responsibility, the solution is easy – refer customers to an independent mortgage broker.

Name and address supplied

Recommended

ALAN CLEARY, MANAGING DIRECTOR ,PRECISE MORTGAGES

It only takes a phone call to vet solicitors

I was surprised by the response generated by John Malone’s recent comments that brokers should be diligent about who they deal with whether this be borrowers, introducers and particularly solicitors. Recently I have written about mortgage fraud and why brokers should be careful about protecting themselves from being used by people hell-bent on defrauding lenders. […]

MPC will do whatever is needed to get inflation on an even keel

Mervyn King, governor of the Bank of England, says the Monetary Policy Committee will take whatever action is necessary to curb inflation, after it rose to 3.2% in October. King had to write an open letter to chancellor George Osborne last week explaining why the Consumer Price Index is still more than 1% above the […]

9 October thumbnail

Johnson Fleming set to host webinar on auditing auto-enrolment schemes

With 23 auto-enrolment compliance notices issued by the Pensions Regulator, and an evolving legislative landscape meaning previously compliant schemes may now be in breach of regulation, now is the time to think about auditing your auto-enrolment scheme. Johnson Fleming is hosting a webinar on 9 October at 11:00 on how to audit your scheme to ensure compliance, avoid breaches and fines and overcome data issues.

Newsletter

News and expert analysis straight to your inbox

Sign up