View more on these topics

Brokers parry CML attack

Brokers have hit back after the Council of Mortgage Lenders accused them of being the source of abuses in the market.

In its 2005 annual report, the CML makes a number of references to lenders being “exonerated” by the FSA while claiming that brokers have drawn heavy criticism from the regulator.

It points out that brokers were criticised after mystery shopping exercises into the self-cert market while lenders “largely escaped criticism” after the FSA’s work on payment protection insurance although they have since come under fire for failing to address PPI sales problems.

The CML says lenders are concerned by the “consistent pattern of failures of record-keeping and the suitability of advice given by some intermediary firms”.

Association of Mortgage Intermediaries associate director Rob Griffiths says: “The AMI has never been one to point the finger of blame and we do not intend to start now. The FSA’s various thematic reviews and mystery shopping visits since M-Day have revealed good and bad practices throughout the industry.

“The AMI is working to provide its members with a full range of information to help them conduct business within the FSA’s rules. The industry needs to be united and should be working together to find solutions to problems.”

Brentchase Financial Services mortgage specialist Mike Fitzgerald says: “You will always get some problems in a big broking industry but intermediaries have got their act together.”

Recommended

Infocomp wraps up deal

Wrap software provider Infocomp is in talks with a number of life and pension providers, fund management firms and bancassurers as it looks to deliver its proposition to the market. Chief executive Rob DeDominicis says after two years work the Australian firm’s platform has been fully adapted for the UK market and it is close […]

Tantrums over TCF

A few weeks ago, I suggested that paranoia is a key personality trait among IFAs. My comments stung quite a few of you into emailing me on the subject, with some of the responses weirder than the role played by Gene Hackman in the 1970s’ film The Conversation, where he appears as a surveillance expert who refuses to buy a phone and will not tell his girlfriend his real age or what he does for a living.

Panellists take profits

Of the three Adviser Fund Indices, the Aggressive AFI saw the heaviest turnover of constituents at the rebalancing on May 1. With 21 of the 107 funds appearing in the last AFI season (from November 1, 2005 to April 30, 2006) being dumped from the riskiest index by the adviser panellists, this represents a fund […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment