Hope secured loans get the boost they deserve after article

I would like to compliment Mortgage Strategy on doing a feature earlier this month on the secured lending sector. In my opinion it’s been long overdue.

As a lender that has been in this sector for 26 years and part of a company that has continued to lend through this challenging period, people tend to forget how important this sector has been to both consumers and brokers.

It has been a constant battle to educate the mortgage industry on the benefits of secured loans as there has been so much negative publicity, admittedly some justified.

But now at last, and with the help of Mortgage Strategy’s article, hopefully it will receive the boost the sector deserves.

It was interesting to read the comments, especially surrounding regulation as this has been one of the areas of our industry that has been misunderstood and unfairly tarnished, particularly since Mortgage Day back in 2004.

The fact remains that we are a regulated industry and the Office of Fair Trading, through its recently published irresponsible lending guidelines, ensured that steps are in place to ensure that consumers are well protected.

Only time and probably a lot of consultation will determine whether there will be a set of rules that will cover all mortgage lending. For now, we have a set of guidelines along with the Consumer Credit Act which on the whole do exactly what they need to.

Well done for featuring our industry and please continue to do so. Those brokers who do not yet offer secured loan products to their clients should consider doing so.

If I had one wish it would be that rather than banks hiding behind the excuse that they don’t want to be in this sector, they do what they are supposed to and support well-run businesses. I can dream can’t I?

Simon Stern
New business director
Prestige Finance