The Association of Mortgage Intermediaries is campaigning for individual registration to prevent fraudsters entering the broker market.
At the Mortgage Product Positioning and Development Conference held in association with Mortgage Strategy last week, Richard Farr, director of AMI, says: “We’re lobbying for individual registration.
“All too often you see brokers who have been struck off the register appear again or businesses that had disappeared relaunched by the same registered person.”
Mike Fitzgerald, sales dir-ector of Brentchase Financial Services, says: ” It sounds like a great way of preventing bad brokers from hiding in large firms.
“Brokers are the public face of the industry and this will help to safeguard the reputations of the majority who work hard to do right by their clients.”
AMI’s call follows recommendations made by a recent Association of Chief Police Officers report to bolster the Financial Services Authority’s regulatory oversight of brokers.
The APCO report gathered evidence from 47 police forces, 45 lenders and a number of government departments.
It found that criminals are attracted to mortgage fraud because of the low risk of prosecution and high monetary returns.
Farr adds that although AMI members back individual registration there are concerns about rising bureaucracy.