Research showing intermediaries do 58% of their business through just three lenders has sparked concern in the industry.The findings from Charterhouse Research also show brokers are placing business through an average of just 11 lenders, which has raised questions about whether brokers are offering the best possible advice. Competitive products are a prerequisite for achieving a top three lender ranking but underwriting is playing an increasingly important part. Ray Boulger, senior technical manager at John Charcol, says: “This suggests a lot of brokers are not giving as good advice as they should be. There are a lot of brokers who deal with all lenders, but equally there are an awful lot who have a small panel.” He adds that if a broker has a panel of, say, eight lenders, the results are not surprising. Boulger says this research is something that should worry the Financial Services Authority. Although the FSA will not comment specifically on the findings of this study it stresses that under its rules, a broker should always recommend the product that is most suitable for the client.
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Leeds & Holbeck has launched a capped base rate tracker.The mortgage offers a combination of a capped base rate tracker, with the cap ensuring the maximum rate payable is 4.75%.Leeds comes into being on September 12, when Leeds & Holbeck changes its name, however, the new capped tracker mortgage is available immediately. The current fee […]
Abbey is offering three months’ free mortgage payment protection insurance for all new applications from now until the end of the year. The offer is intended to encourage more borrowers to take up the cover. Abbey says research it has carried out shows that home owners are leaving themselves vulnerable when it comes to mortgage […]
Experts at the Property Investor Show (September 23 to 25, ExCeL London) are advising investors keen to take advantage of tax breaks on property purchases through pension funds next April to ensure they tread carefully before committing to any investments.In advance of full clarification of the exact regulations regarding SIPP investments from the Inland Revenue, […]
Moneyfacts.co.uk has revealed the results of its latest online user survey.The August poll highlights that when visiting their bank branch 53% of consumers find that bank staff try to sell them more financial products.85% of consumers think charges imposed on late payment of credit card bills are excessive.Only 27% of consumers think house prices will […]
Do macro headlines create white noise which impacts market prices? Portfolio Manager at Harris Associates, David Herro, discusses how market volatility can create opportunities to buy good business at a discount.
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