View more on these topics

Authorities should investigate lenders’ dual pricing stance

I’d like to see the FSA target lenders that use dual pricing with rates and fees, and question their Treating Customers Fairly policies.

It does not cost lenders such a huge difference in fees and rates to allow new borrowers to come to them via brokers.

In fact, it was always stated that it cost lenders less to process broker-introduced cases as most of the work is already done for them and brokers cover their own overheads.

The broker community would not suffer as much if all lenders’ rates were the same, irrespective of application route.

This is a manipulation of the market by banks and it should be addressed by the government and the FSA.

Name and address supplied

Recommended

FSA must act in the interests of clients before it’s too late

The reason most of the best deals are only available direct is dual pricing by lenders and the deals they offer at 90% LTV that brokers can’t get at. I see a lot of first-time buyers who only have small deposits so I tell them to go direct to lenders as I can’t compete with […]

JAMES WATSON, SALES AND MARKETING DIRECTOR, PAYMENTSHIELD

New cover products can fill the PPI gap

Lloyds Banking Group’s withdrawal from the sale of payment protection insurance suggests it will not be able to generate adequate profits from the product if the Competition Commission insists on a point-of-sale ban, as is widely expected. In making this move Lloyds group joins lenders such as HSBC and the Royal Bank of Scotland, which […]

Paymentshield product to cover client outgoings

An income insurance product that covers customers’ financial commitments in a similar way to payment protection insurance is being launched by Paymentshield. IncomeShield provides protection for a policyholder’s financial outgoings and can be sold as a standalone product or in conjunction with other insurance and protection products. Tim Johnson, chief executive of Paymentshield, says: “Advisers […]

Newsletter

News and expert analysis straight to your inbox

Sign up