Many lenders are not ready to share data and engage in product verification in the lead-up to M-Day, leaving sourcing systems short of information.
Mortgage sourcing and e-trading company Mortgage Brain says only 62 lenders have committed to verifying data and only 40 per cent of the 155 lenders in the market have said they will share their calculations on APR and redemption penalties.
Just 40 per cent of lenders have promised to send Mortgage Brain their KFIs ahead of M-Day.
Spicerhaart group compliance director Peter Gladdy says despite efforts from the sourcers and the Association of Mortgage Intermediaries, lenders seem disappointingly under-prepared.
Gladdy says: “Committing and actually giving data is not the same thing. This makes me think several lenders are simply not ready with the resources to verify data or their KFIs, leaving mortgage sourcers under-resourced.”
Bristol & West and HBOS are cited by Mortgage Brain as the least co-operative lenders. B&W was unavailable for comment.
Halifax press spokesman Paul Fincham says: “We are making every effort to support sourcing systems. From our point of view an intermediary will be able to get a compliant HBOS KFI that is 100 per cent accurate.”
MBL chief executive Mark Lofthouse says: “Lenders can choose to do more. It is up to them whether they choose to take advantage of our services. But we have to check the accuracy of KFIs and not offload the responsibility to lenders.”