Dev Malle, Pink Home Loans associate director, says: “We feel it’s important for intermediaries to be extra vigilant at the moment and there are several key areas they need to pay particular attention to following the regulatory change.”
Malle says lenders have taken different approaches to how they treat pipeline cases and points out that even a broker who uses a limited number of lenders needs to understand the lender requirements.
Malle goes on to say that anyone who has decided to follow the AR route needs to ensure they understand how they will be paid and when.
To be extra safe in their interpretation of the rules, many lenders have reviewed and changed their criteria – in particular lenders who offer self-cert products.
Malle says it’s also important that brokers use lenders’ websites for KFIs.
He says: “It’s simple – sourcing systems won’t guarantee KFIs, but lenders will. Use the sourcing systems for sourcing and lender websites for KFIs.
Malle also stresses that it is important for brokers to understand the facilities lenders are making available to them.
He adds: “Much will depend on whether you have AR or directly authorised status, but examples where you may have lost access to lenders’ facilities will include express payments, online case tracking and BDMs.”