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Finance Centre will stay a pure packager

The Finance Centre says it will remain a pure packager after mortgage regulation.

Several packagers plan to offer appointed representative status to brokers but TFC says it intends to work with network principals to provide an outsourced packaging service to complement its existing proposition.

Packagers who do not provide advice to borrowers will not be regulated by the FSA when it takes control of the mortgage market in October next year. Only broker/packagers and packagers who intend becoming principals will be regulated.

Wayne Smethurst, senior partner at The Finance Centre, says: “We have considered the options and have decided to focus on what we do best – packaging. We want to work in partnership with lenders and regulated networks to provide a quality outsourced packaging service and will continue to support intermediaries who become directly authorised.

“There is a danger that some packagers will feel pressured into becoming principals because they think they have no option. Becoming a principal is not a decision to be taken lightly and I have no doubt that some new entrants will fail through not understanding the full implications of running a network.


Mortgage Brain users get separate company

Mortgage 2000 has launched a separate distribution and packaging company for brokers who use the Mortgage Brain sourcing system. M2 mortgage club and m2-d&p will appear as 1st source direct and 1st source processing for users of the Mortgage Brain system. The club will offer mortgages from over 45 lenders on a direct submission basis […]

Inhouse offer facilities from Guaranteed HomeLoans

Guaranteed HomeLoans has launched inhouse offer facilities with lending partner GMAC-RFC. John Howard Smith, director of Guaranteed HomeLoans, says: “We are excited to be able to offer this added benefit to our introducers. Having complete control on the whole process, up to and including completion, will not only give us an added edge with our […]

Base rate rise could result in extra £1.8bn interest payments

A 0.25% increase in the Bank of England base rate will result in an extra £1.8bn a year in mortgage interest payments – or £152.3m a month, Sainsbury&#39s Bank says. The bank calculates that a client with a £150,000 interest only loan and paying a typical high street lender&#39s SVR of 5.5% would see monthly […]

New-build homes rise 9%

New-build homes price inflation has risen by 9% in the last 12 months, research from Bradford & Bingley Land & New Homes says. The cost of an average new home in the UK now stands at £186,747, compared to £172,715 in 2002. The figures from L&NH reveal that the north of England is leading the […]

Canada Life annual IHT survey results

75% of wealthy unaware of new residence nil rate band IHT allowance Just 4% were aware the new allowance will be up to £175,000 per individual Lack of awareness of IHT rules means families risk paying a bigger bill than they need 83% think the current inheritance tax rules are far too complex A remarkable […]


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