Robert Sinclair, director of the Association of Finance Brokers has never been one to mince his words when it comes to the subject of the Financial Services Authority regulating secured loans.
These words have been put into action by Sinclair who has published a White Paper on how best to regulate the secured loan market.
It is not hard to read between the lines to see what Sinclair is hoping to achieve – FSA regulation of the secured loan market.
The fact the AFB wants to see the secured loan market regulated by the FSA is one thing, the fact it wants to see this done when we are in the middle of the credit crunch is another.
The AFB is asking for feedback from brokers and wants to know whether they would be in favour of FSA regulation.
One body that is clearly not in favour of FSA regulation is the Finance and Leasing Association, which has come out and said there is nothing wrong with the way things are being done at the moment and the industry should be focusing in the current liquidity problems and not trying to step up regulation.
You can see the FLA’s point, but what Sinclair is arguing is that the market may need something such as FSA regulation in order to kick it out of the rut that it has got into.
There are still lots of mortgage brokers that are sceptical when it comes to dealing with secured loan firms because they view them as not being regulated.
FSA regulation would give the secured loan market a boost at a time when it needs it the most, and if it does make mortgage brokers warm to the sector more, than what can be the harm.