View more on these topics

Secured loans offer an opportunity not to be sniffed at

As the head of a mortgage club it is important to keep a variety of sectors of the market on our radar to ensure our members are being well serviced.

Of course it is no longer all about mortgages. For forward-thinking brokers it shouldn’t have been for some time and diversity remains the buzz word.

This market is constantly changing, hence the reason why my eye was drawn to a comment piece entitled ‘Ride the secured loans wave of change’ (Mortgage Strategy February 2).

Pre-credit crunch the secured loans market was growing rapidly and changing perceptions along the way. Like most sectors this momentum was stopped in its tracks by the credit crunch. But I agree with the sentiment of the article and can sense a renaissance brewing in the secured loans sector.

Of course, this optimism is still blighted by funding issues and we have to be realistic in the current climate. But when funding does return it could be the secured loans sector that is one of the first to feel the benefits.

Indeed, it could be argued that brokers are failing in their regulatory responsibilities if they do not explore all the financial options to provide solutions for their clients’ circumstances.

Distribution in the sector is changing. Technology has become better and, as highlighted in the article, traditional consumer-facing specialist secured loans brokers are moving out of the sector because the economics don’t stack up, leaving a gap for mortgage brokers to step into.

So there is opportunity and in a challenging market such as this when opportunity comes knocking it is certainly not to be sniffed at.

Phil Whitehouse

Head of the Mortgage Alliance

By email

Recommended

Vision quashes single-tie protection rumour

Mortgage Times’s Vision Network has quashed rumours that it is looking to sign a single-tie agreement with Legal & General for protection products.

Don’t try to to cut corners on compliance

Each February the Financial Services Authority looks at the issues coming up in the year ahead for markets, consumers and firms, and publishes its Financial Risk Outlook.

Norwich & Peterborough profits down by around 76%

Norwich & Peterborough’s pre-tax profits for 2008 were £5.9m, after a £5.5m reduction for its Financial Services Compensation Scheme levy, compared with £24.3m profits for 2007.

Nigeria cover image - thumbnail

White paper — Nigeria International Insights

Jelf Employee Benefits closely examines healthcare provision and challenges within Nigeria. This will be of particular interest to HR decision makers with employees based in Nigeria, and assesses the environment, risks, facilities and safeguards that are relevant to organisations that are actively deploying expatriate staff in this location.

Newsletter

News and expert analysis straight to your inbox

Sign up