An email sent to brokers by Fortune Network Mortgages says it will “enable any individual to sell mortgage and insurance products even if they have no industry experience”.
Fortune is authorised by the FSA and supplies remortgage leads to franchisees, who then arrange sales based on predetermined scripts accessed through an internal computer system.
Business development manager Steve Burch says franchisees call clients and conduct a fact-find, followed by a credit check. Cases progress to Fortune’s underwriters, who select two or three mortgages from a panel of 40 UK lenders. Birch says 75 per cent of the franchisees are not qual- ified to give advice but insists this is made clear to clients.
Bill Warren Compliance managing director Bill Warren says: “Individuals might be losing a hell of a lot more than they realise by getting involved with these types of firms.”
The Mortgage Practitioner principal Danny Lovey says: “Any consumer who talks to an intermediary needs assurance that they are authorised and regulated to do so. These bucket shops that are opening up do not do the industry any good.”