Consumers and brokers are missing out under regulation

From Lee Martin

Many people I speak to in the course of a working week have negative things to say about the industry. A BDM recently told me he’d seen three brokers that week who had not done a mortgage deal for weeks.

I try to mix my business – mortgages, secured loans, personal loans, life assurance…

Life assurance? I often get people asking for 100,000 of term assurance with critical illness over 20 years with a waiver on guaranteed rates. My network says I have to advise the customer, do a fact-find and a statement of price, then a three-page demands and needs letter. All I should be doing is execution-only business like IFAs have been getting away with for years. What’s the difference?

My introducer gives my number to people, they call and I lose out. They say: “I can’t be bothered with all this, I just want a quote. I’ll go to Tesco.”

Tell me regulation is working wonders for clients and I’ll have you certified. The FSA must be nuts. Clients are getting less advice than before because they do not want all the paperwork. They just want to ring up, get a quote, and say yes or no… that’s it.

Lee Martin

Regency Mortgage Bureau

Chorley

Lancashire

By email