Personal Touch Financial Services has axed the Moneysupermarket.com owned Paaleads from its lead generation panel in the wake of its parent group’s negative comments about consumers using brokers to access the best mortgage deals.
At the weekend Moneysupermarket.com issued a press release stating that research showed 90% of the best mortgage deals were now only available direct.
It went on to warn consumers that anyone using a mortgage broker “needs to be aware that the range of products available may be limited”.
In a press release yesterday the company looked to retract the original figures but emphasised that brokers were “vitally important” to it and that the original press release was, “not intended to cause offence to brokers”.
The company says it was merely meant to emphasise that some consumers who are used to going to a broker will not be aware of how the market has changed.
But Dev Malle, sales and marketing director at PTFS, says the damage has already been done.
He says: “Even when Moneysupermarket had retracted its ill thought out comments, it was too little too late.
“It is not the first time it has misjudged the broker community and I am somewhat shocked.
“The sales team from Paaleads is out there trying to mend things when it decides to send out a press release which it then retracts as it is factually incorrect. Paaleads, which is part of Moneysupermarket.com, generates income from selling leads to the intermediary and it appears that a significant proportion of customers who approach its website, ask for advice, which turns into a broker lead.
“Clearly it has its own agenda and we need to trust and work in partnership with organisations to provide support and service to our community of advisers, we cannot do this where our customers value is being wrongly challenged.
“We have therefore taken the difficult decision to serve notice on the corporate relationship we have with Paaleads and remove them from our lead generation panel.
Dean Jones, head of Paaleads, says: “The comments that were made were about direct deals, we are committed to the broker market. We are contacting all of our broker clients to reassure them of our commitment.”