View more on these topics

Flat fees for GMAC partners

GMAC-RFC has designed a flat fee payment structure for its Platinum Partners packagers. This comes amid market speculation that business levels at the Bracknell-based specialist lender have suffered a drop in volume in packaged business since it announced it was stopping all override payments.

The decision in January to limit the fees GMAC-RFC paid its Platinum Partners met with widespread disapproval in the packaging sector.

One packager, who asked not to be named, says: “We were taken aback by the January announcement. We thought – how dare it force our hand with no prior warning and still expect us to submit the amount of business we do? A lot of packagers that dealt with GMAC-RFC simply started directing business elsewhere.”

But contrary to speculation among its packaging partners about the lender suffering, GMAC-RFC says it has continued to enjoy good business levels. Indeed March this year was a record month in terms of the number of applications received.

The change to the pricing structure was announced at the end of last month after Platinum Partner representatives were summoned to a meeting at the lender&#39s headquarters.

Jeff Knight, marketing manager at GMAC-RFC, tells Mortgage Strategy: “Last week we announced to our Platinum Partners a payment structure for our products across the distribution channels we operate.

“The significant change was a move away from a tiered payment based on LTV to a flat payment regardless of LTV. We believe this better reflects the work our business partners undertake for us and simplifies the process as we move into the regulated environment.”

Recommended

Review of adviser exams could lead to drop in standards, warns LIA

A proposed review of financial advisers&#39 exams could lead to a drop in standards and further confusion among the public, the LIA has warned. The Financial Services Skills Council is proposing a range of modular exams from which employers can select, depending on the roles of their employees. However, the LIA, which represents 20,000 people […]

Orchard & Shipman enters property auction market

Slough-based sales and letting agents Orchard & Shipman have entered the property auction market with the aim of creating a market in tenanted properties. At the company&#39s first auction last week nearly half of the properties sold housed local authority tenants. In only a year, the number of property auctions around the country has risen […]

Mortgage Talk welcomes Halifax FTB mortgage

Mortgage Talk has welcomed Halifax&#39s first-time buyer mortgage and says its a welcome boost for new homebuyers this Easter and summer. Andrew Frankish, operations director at Mortgage Talk, adds that the products are exactly what the market needs at the moment. He says: “Recent statistics show that the average deposit for first-time buyers has quadrupled […]

FSA confirms framework for electronic reporting

The Financial Services Authority has confirmed the framework for integrated regulatoryreturns and that mandatory electronic reporting will be introduced for most regulated firms. David Kenmir, FSA managing director, regulatory services business unit, says: “The new system is an important development in the FSA&#39s aim to be an organisation which is more effective and easier to […]

Pensions - thumbnail

Changes to capped drawdown tables

The tables used for capped drawdown maximum income calculations have been updated. We look at the reasons for the change and what the impact could be. Changes to capped drawdown tables Capped income drawdown involves taking a pension directly from a fund instead of buying an annuity. However, there’s a limit on the maximum amount […]

Newsletter

News and expert analysis straight to your inbox

Sign up