Mortgage network HomeLoan Partnership has hit out at Bankhall's comments that networks limit consumer choice and are not a long-term solution for brokers.
Managing director Martin Cave believes Bankhall group sales director Shaun Godfrey's views are extreme. He points out that the FSA believes a well researched and regularly monitored panel of lenders is representative of the whole market and wonders why Godfrey cannot see this.
Cave thinks a customer does not need to be made aware of all the thousands of deals available, describing this as information overload. He underlines the fact that the FSA says a mortgage broker in a network can describe his business as independent if products are recommended from lenders in all market sectors and the customer is given the option to remunerate the broker with a fee.
He says: “No mortgage broker need feel inferior at the prospect of joining an established and experienced network, any more than the thousands of IFAs in the investment sector who chose the network solution in preference to direct authorisation.”