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AMI appeals for compliance rules to cover lead sites

The Association of Mortgage Intermediaries is calling for lead-generation websites to be brought under the financial promotion regime.

At the Mortgage Business Expo last week, AMI director Rob Sinclair raised concerns over lead-generation web- sites, saying they are not as compliant as broker websites have to be.

He said: “Lead generation is going to become bigger and bigger this year. I am worried that these websites are not as compliant as our websites have to be. If we bring them into the financial promotion regime, it will level that playing field. It will bring extra cost but it might be better for us in the long term and it might be better for them.”

He criticised the FSA for not putting consumers at the heart of the mortgage market review and said it concentrated too much on intermediaries and what had gone wrong rather than on the needs of consumers.

Sinclair also called for the industry to rename fast-track mortgage customers as low- risk applicants and said he had concerns that people would become “mortgage prisoners” due to the tightened criteria on interest-only loans.

He said: “The other part of this change that worries me is that all interest-only loans must be assessed on a capital-repayment basis.

“Many lenders have been doing that in the last 12 months in particular but it will mean we may have property or mortgage prisoners, people who then cannot move.”

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