View more on these topics

Brokers must learn not to give their advice for free

Our experience of working with single brokers and large networks has shown compelling evidence that advisers must review their remuneration channels urgently. To remain viable, brokers must charge professional fees to all customers whether they recommend products with proc fees or not.

Brokers are struggling to cope with market conditions, including the fact that many direct-to-lender products are better value than the ones available to them.

Also, many customers are coming to them for advice having already looked at mortgage comparison websites, so they are aware of what is available direct from lenders but still need expert advice to find the best deals.

This means brokerages must have sourcing systems that cover direct and broker products, together with sales processes that prompt the payment of professional consultation fees and automated analysis systems that show comparative fees and costs across all suit- able mortgages.

Brokers must flag up and gain client assent to their fees at an early stage of the sales process before specific lenders have been recommended and customers potentially walk away with valuable information they have not paid for. They also need to keep clients on board so that they have the opportunity to cross-sell insurance products.

No other professional adviser would be willing to give away their advice for free and brokers must learn to do the same.

Richard Angliss

Managing director

Home Buyer Systems

By email


Mortgageforce takes on Devon brokerage

Mortgageforce has taken on 14 new brokers as part of an 18-month expansion plan by adding Devon-based brokerage Mortgages and Financial Solutions to its franchise operation.

Mawdsley quits The Mortgage Partnership

John Mawdsley, managing director of Merseyside-based The Mortgage Partnership, today announced that he was hanging up his mortgage spurs – for the time being. Mawdsley started in the mortgage market in 1974 at the Liverpool branch of the Hastings & Thanet building society.He swiftly moved on to a management position at what was then the […]

Call to extend shorting ban

The Real Estate Investment Trust Association is calling on the Financial Services Authority to extend the short selling ban to include the commercial property and real estate sector.

Survey cover

EEF/Jelf Employee Benefits Sickness Absence Survey 2015

EEF stated in its 2015 EEF Manifesto that the UK’s growth prospects depend on people being fit, working and productive. Keeping people in work and helping people return to work is very important for the manufacturing sector. It means boosting productivity by getting people back into work as early as is possible, as well as fostering workplace cultures and environments that proactively manage individuals’ health conditions so that all can benefit from lower sickness absence outcomes.


News and expert analysis straight to your inbox

Sign up