Brokers are not driven by proc fees and long-term deals aren’t best for clients

I must take issue with Mike Lazenby\'s comments in your March 24 issue. Would he like to substantiate his outrageous comments that brokers are driven by commission so it\'s not in their interests to sell 25-year products and that the majority of mortgages sold by them are not necessarily the best deals?

Unlike Lazenby, most brokers including myself are self-employed. It’s in our interests to have happy customers who return in the future and recommend us to others.

Brokers work hard for their clients by providing the best deals while handling lenders’ bureaucracy. Unhappy customers do not return.

Many borrowers think they want 25year fixed rate deals but when we explain about portability and early repayment charges, their viewpoint shifts and most opt for shorter term products.

We do not do this to earn more commission – it’s in our clients’ best interests to understand the consequences of what they’re about to enter into.

We offer a good deal to clients and work hard for our money. We don’t charge the earth and we’ll recommend the best deals for them regardless of commission. Indeed, I’ve done many deals where the proc fee was zero but I went ahead because the mortgage products were head and shoulders above the alternatives. Lazenby should change the circle of brokers he mixes with, although there won’t be that many willing to break bread with him after these comments.

Sean Horton
Enhanced Wealth